Bank of America acted as left lead arranger and bookrunner on the upsizing of Uniti Group’s existing senior secured revolving credit facility to $500 million.
Under these commitments, the covenants have been revised and, subject to certain conditions, the maturity date has been extended to Dec. 10, 2024 with improved pricing.
The amended credit facility provides that (i) upon receipt of routine regulatory approvals, new and extended commitments under Uniti’s amended credit facility will bear interest at a rate of LIBOR plus 375 to 450 basis points, with a 0% LIBOR floor, depending on the company’s secured leverage ratio, and (ii) certain limitations that were included in previous amendments to credit agreement have been modified or removed, including restrictions relating to debt incurrence, restricted payments and permitted investments.
“We are pleased to successfully complete the extension and expansion of our revolving credit facility. This marks another important advancement to improve Uniti’s financial profile, and we appreciate our lending institutions continued support,” Mark Wallace, executive vice president, CFO and treasurer of Uniti, said.
The amended credit facility will be subject to an earlier maturity date of 91 days prior to the maturity of any outstanding debt with a principal amount of at least $200 million unless the company’s unrestricted cash balance plus remaining revolving credit facility commitments exceeds the principal amount of such debt at all times following such 91st day until maturity. Certain non-extending lender commitments of approximately $60 million will mature on April 24, 2022 and will continue to bear interest at rates previously in effect. Prior to the expiration of these commitments, the aggregate facility will be $560 million from all lenders.
Uniti is a provider of wireless infrastructure solutions for the communications industry.
