Wind Acquisition Finance (WAF), a subsidiary of Italian telco Wind Telecomunicazioni, has sold about €500m worth of senior secured notes due 2018, specifically a US$400m bond and a €200m bond.
TelecomFinance understand the dollar-denominated…
Wind Acquisition Finance (WAF), a subsidiary of Italian telco Wind Telecomunicazioni, has sold about €500m worth of senior secured notes due 2018, specifically a US$400m bond and a €200m bond.
TelecomFinance understand the dollar-denominated bond was sold in the private placement market, matures on 15 February 2018, carries a coupon of 7.25% and is priced at 92.181 to yield 9%, equivalent to a spread of 769 basis points over US treasuries.
The joint bookrunning managers for the transaction were Deutsche Bank, BNP Paribas, IMI, Barclays Capital, Credit Suisse, ING and Societe Generale.
Moody’s has assigned the issue a ‘Ba3’ rating, while Standard & Poor’s has given it a ‘BB’ rating.
WAF yesterday announced the pricing of the dual-currency bond: a tap offering of €200m 7.375% senior secured notes and US$400m 7.25% senior secured notes.
WAF said in its statement the additional notes will be used as a tap under the indenture dated 26 November 2010, pursuant to which an existing dual-currency bond consisting of €1.75bn of 7.375% senior secured notes and US$1.3bn of senior secured notes due 2018 was issued.
The additional notes, guaranteed by Wind Telecomunicazioni, will be traded separately and rank pari passu with Wind’s obligations under its senior secured credit facilities.
Part of the proceeds of the offering will be used to repay €250m of a bridge loan dated October 2011.
