Copying and distributing are prohibited without permission of the publisher
Windstream raises $400m in bond sale
13 July 2010
US operator Windstream is raising $400m in a bond sale, designed to pay debt from its June acquisition of Iowa Telecommunications
Read more:
Windstream
Iowa Telecommunications
bonds
telecoms finance
Windstream is raising $400 million in a sale of bonds. The telephone and broadband provider has priced a private placement of $400 million in aggregate principal amount of its 8.125% senior notes due September 1, 2018 at an issue price of 99.248% to yield 8.25%.
The notes offering is expected to settle on July 19 2010, subject to customary closing conditions. Windstream is planning to use the net income to pay back the $300 million of outstanding indebtedness under its revolving credit facility and for general corporate purposes.
Most of the debt was accumulated when Windstream bought Iowa Telecommunications, a deal that closed on June 1. (See Global Telecoms Business report: http://www.globaltelecomsbusiness.com/Article/2346015/Search/Results/Windstream-to-buy-Iowa-Tel-for-11bn.html?Keywords=windstream)
The senior notes will be sold only to qualified institutional buyers under Rule 144A, and outside the U.S. in accordance with Regulation S under the Securities Act of 1933, as amended. GTB