13th Jun 2014 08:10
LONDON (Alliance News) - Satellite operator Avanti Communications Group PLC Friday said it has raised USD157.5 million in bond proceeds, which it said it will use to commence the HYLAS 4 satellite project, a new satellite launching in 2017.
Avanti Communications said it successfully placed USD150 million in senior secure note due 2019, raising proceeds of USD157.5 million. It said the notes were the subject of an amendment agreement to permit the issuance of new debt.
The company said it will now use the proceeds to commence its HYLAS 4 project, a new satellite it said it will launch in 2017 to serve new markets in Africa, and also provide expansion capacity for existing customers in areas of Europe and Africa covered by the HYLAS 1 and 2 satellites.
"This satellite will give us ubiquitous coverage of Sub-Saharan Africa, as well as expansion capacity in Europe and some new capacity in Latin America," said Chief Exeucitve David Williams in a statement.
It said it expects to execute contracts for the supply of satellite construction and launch services soon.
"It will almost double the total fleet capacity as well as providing a powerful strategic and competitive advantage," Williams added.
The company also confirmed that it was trading in line with expectations for the full year ending June 30.
Avanti Communications shares were trading 0.4% higher in early trading Friday, at 282.75 pence.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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