Uniti Group Announces $570 Million Offering of Senior Secured Notes
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Uniti Group Announces $570 Million Offering of Senior Secured Notes

By CIOReview | Friday, May 7, 2021

Uniti Group its subsidiaries, Uniti Group LP, Uniti Group Finance 2019 Inc., and CSL Capital, LLC have priced a $570 million offering of 4.75 percent senior secured notes due 2028.

FREMONT, CA: Uniti Group Inc. has reported that its subsidiaries, Uniti Group LP, Uniti Group Finance 2019 Inc., and CSL Capital, LLC (collectively, the Issuers), had priced a $570 million offering of 4.75 percent senior secured notes due 2028 (the new notes). The new notes will be released at a 100.00 percent issue price. The Company will ensure the latest notes on a senior unsecured basis. Each of its subsidiaries (other than the Issuers) will guarantee indebtedness under the Company's senior secured credit facilities and current secured notes (except initially those subsidiaries that need regulatory approval before ensuring the new notes). The new notes and subsidiary warranties will be protected by first-priority liens on the Issuers' and subsidiary guarantors' assets (except a few excluded assets), which liens will also relatably safeguard the Company's senior secured credit facilities and current secured notes. On April 20, 2021, the offering is scheduled to close.

The Issuers expect to use the net proceeds from the new note offering to finance the redemption (the Redemption) in the whole of the outstanding 6.00 percent senior secured notes due 2023 (the 2023 secured notes) and associated premiums, fees, and expenses related to the preceding. The 2023 secured notes are subject to the completion of one or more debt financings totaling at least $570 million, according to the notice of redemption published recently. The press release does not serve as a notice of redemption for the secured notes due in 2023.

The new notes will not be listed under the Securities Act of 1933, as amended (the Securities Act), or any state securities laws, and will not be provided or sold in the United States unless registered or exempted under the Securities Act or any applicable state securities laws. The new notes will be provided only to individuals who are reasonably assumed to be accredited institutional buyers under Rule 144A of the Securities Act and outside the United States in accordance with Regulation S of the Securities Act.