FirstDigital Telecom, a fiber-based carrier in the western United States, raised debt financing from a group of investors, including AllianceBernstein, Deutsche Bank, Guggenheim and Webster Bank.
As a result of the transaction, FirstDigital recapitalized its balance sheet with institutional lenders and consolidated its common equity ownership under president and CEO Wesley McDougal. This transaction follows the recent $200 million preferred equity investment by infrastructure funds managed by Apollo in FirstDigital Telecom.
“These recent transactions position FirstDigital to accelerate our strategy and meet growing demand for telecommunications services,” McDougal said. “We appreciate the support of the new lender group and of Apollo’s strategic partnership in helping us to execute on this transaction.”
“FirstDigital is a leading fiber operator in the Southwest region, and we’re pleased to have provided our strong institutional support for this key milestone in the company’s growth plans,” Dylan Foo, partner and co-head of infrastructure at Apollo, said.
Apollo Global Securities served as the placement agent to FirstDigital and Simpson Thacher & Bartlett and Parr, Brown, Gee & Lovelace served as legal counsels to FirstDigital. White & Case served as legal counsel to the lenders.