10th Jun 2020 09:11
(Alliance News) - Helios Towers PLC on Wednesday has priced its senior notes due 2025 at 7.0%.
The USD750 million placing will be used to its HTA Group subsidiary outstanding senior notes due 2022 and repay all of its USD125 million term facility, which has about USD75 million outstanding.
Helios Chief Financial Officer Tom Greenwood said: "We are incredibly pleased to announce the successful pricing of our bond offering today. Given that we are reopening the African corporate debt capital markets after the Covid-19 volatility, we initially envisaged a smaller new issuance of USD425 million with a tender offer for up to USD325 million of our outstanding existing 2022 senior notes.
"However, demand and pricing for the new senior notes offering was such that we upsized to a USD750 million issuance and the full redemption of the existing 2022 senior notes."
Helios noted it has also entered into a new USD70 million revolving credit facility, replacing its USD60 million revolving credit facility, which will be cancelled upon completion of the offering.
"This success was achieved as a result of having further demonstrated a track record of successful growth in long-term contracted revenues and resilient cashflows. As a consequence we have not only been able to upsize the offering and significantly reduce our cost of borrowing, but also raise a new term loan in order to invest into the expansionary opportunities on the continent," Greenwood added.
Shares in FTSE 250-listed Helios Towers were 5.2% higher in London on Wednesday morning at 199.80 pence each.
By Paul McGowan; [email protected]
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