Frontier Communications entered into a new $1.5 billion senior secured delayed-draw term loan facility. The loan will be drawn upon the closing of Frontier’s acquisition of Verizon Communications’ wireline operations in California, Florida and Texas, which is expected at the end of March 2016.

According to a related 8-K filing and term sheet, JPMorgan Chase was administrative agent for the lender group with J.P. Morgan Securities, Merrill Lynch and Citigroup Global Markets as joint lead arrangers and joint bookrunners. Bank of America, Citibank, Barclays Bank and others were co-syndication agents.

Frontier completed the equity portion of its financing plan for this acquisition with a $2.75 billion dual-tranche equity offering in June 2015.

“This is a very positive arrangement that provides acquisition financing at favorable terms and rates,” said John Jureller, executive vice president and chief financial officer of Frontier. “The proceeds will reduce the amount of public high-yield debt to be raised.” He added, “We are pleased our relationship banks recognize the growth opportunities our planned Verizon transaction offers.”

Frontier Communications offers broadband, voice, video, wireless Internet data access, data security solutions, bundled offerings and specialized bundles for residential customers, small businesses and home offices and advanced communications for medium and large businesses in 28 states.