Due in 2027, the notes will be issued in a private offering at an interest rate of 4.000%. The notes were priced to investors at face value and will mature on 15 February 2027.
Additionally, all notes will be unconditionally guaranteed by each of CenturyLink’s domestic subsidiaries that guarantees CenturyLink’s 2017 senior secured credit facilities. Although the 2027 notes will not be secured by any of CenturyLink’s assets, the guarantees will be secured by a first priority security interest.
The proceeds of the offering will be used to repay down the company’s debts acquired under its existing 2017 senior secured credit facilities.
At the time of the announcement CenturyLink also revealed that it had received interest from lender to amend and extend its 207 Revolving Credit Facility and Term Loan A and A-1 Facilties. In addition, CenturyLink has started the process through which it plans to amend, extend and reprice its existing 2017 Term Loan B facility.
In related news, in November 2019 CenturyLink announced a major fibre network expansion in Europe. The plans include building new metro networks in Madrid and Marseille, whilst connecting an additional 90 data centres to its network.
