Dutch cable operator Ziggo is in talks with lenders to refinance E1bn worth of mezzanine debt with a high-yield bond, Reuters reports.
The company is reportedly currently paying 925bp on its mezzanine loan, consisting of 450bp over Euribor and 475bp PIK,…
Dutch cable operator Ziggo is in talks with lenders to refinance E1bn worth of mezzanine debt with a high-yield bond, Reuters reports.
The company is reportedly currently paying 925bp on its mezzanine loan, consisting of 450bp over Euribor and 475bp PIK, while the average coupons on European high-yield bonds are around 8.5%.
Ziggo is reportedly also seeking approval from his lenders to issue senior secured high-yield bond in the future to refinance senior debt.
Bookrunners Credit Suisse and Goldman Sachs, with ING acting as facility agent, are said to be in talks to extend the company’s junior debt beyond its current 2016 maturity. Both Credit Suisse and Goldman Sachs are expected to lead the unsecured bond issue.
Ziggo is the largest cable operator in The Netherlands and it is owned by private equity firms Cinven and Warburg Pincus.