American Tower Corporation priced $1.6 billion of senior notes on September 9, split into three tranches: $500 million at 5.300% due 2031, $500 million at 5.560% due 2033, and $600 million at 5.750% due 2036. The three tranches would carry combined annual coupons of $88.8 million, a weighted average coupon of 5.55%, and the company expects approximately $1.580 billion in net proceeds. American Tower intends to use $600 million of the proceeds to repay 1.450% notes due in 2026, with the remainder designated for revolving-credit debt and general corporate purposes. The old notes being repaid carry only $8.7 million in annual coupons, so the coupon difference would be $80.1 million before accounting for interest savings on any revolving-credit repayments. Net proceeds also fall roughly $20 million below the new notes' face amount, leaving about $980 million for revolving debt and general purposes after the planned $600 million repayment.
American Tower CorpAmerican Tower priced $1.6B of senior notes at a 5.55% weighted average coupon, replacing 1.450% notes and adding roughly $80.1M in annual coupon costs.
