Canadian cableco Videotron is set to issue US$800m of ten-year 5% senior notes at par and with a coupon of 5%.
The bookrunners are BofA Merrill Lynch, Citigroup, Royal Bank of Canada and Scotia Capital.
Videotron said that it intends to use the…
Canadian cableco Videotron is set to issue US$800m of ten-year 5% senior notes at par and with a coupon of 5%.
The bookrunners are BofA Merrill Lynch, Citigroup, Royal Bank of Canada and Scotia Capital.
Videotron said that it intends to use the proceeds of the bond issue to repurchase or redeem US$395m of its outstanding 6.875% senior notes due 2014 by 30 March.
Videotron will also use the funds to repay fully the borrowings under its revolving credit facility and to pay related transaction fees and expenses. Any remaining proceeds will be used for general corporate purposes.
Videotron, a subsidiary of Canadian media group Quebecor Media, provides cable TV, internet and voice services.
Videotron said that the offering had been “well oversubscribed” by investors and that it had received its lowest coupon rate since being acquired by Quebecor in 2000.