BofA Agents Term Loan B Amendment Facility for Cincinnati Bell
Cincinnati Bell announced that it amended its corporate credit agreement to include a $540 million Term Loan B Facility due September 2020. The Facility, which was upsized from $400 million in the aggregate principal initially sought by the company, is guaranteed by certain subsidiaries of Cincinnati Bell and includes customary terms and covenants. Bank of America acted as administrative agent.
Pricing on the Facility was set at LIBOR plus 300 basis points (with a LIBOR floor of 1.00%) and 0.75% of original issue discount.
The company intends to use net proceeds of the Facility, anticipated to be approximately $530 million after the original issue discount, fees and expenses, to redeem all of the $500 million of outstanding 8.25% senior notes due 2017 and to pay the associated redemption premium and accrued and unpaid interest.
Headquartered in Cincinnati, Cincinnati Bell provides integrated communications solutions, including local and long distance voice, data, high-speed internet, entertainment and wireless services.