American Tower Corporation priced its registered public offering of senior unsecured notes due 2031, 2033, and 2036, with aggregate principal amounts of $500 million, $500 million, and $600 million, respectively, totaling $1.6 billion. The notes carry interest rates of 5.300%, 5.560%, and 5.750% per annum, respectively, and are issued at prices of 99.718%, 99.776%, and 99.497% of face value. Net proceeds are expected to be $1,579.9 million after underwriting discounts and expenses. The company plans to use the proceeds to repay its $600 million 1.450% senior notes due 2026, reduce borrowings under its $6 billion senior unsecured multicurrency revolving credit facility, and for general corporate purposes.
American Tower CorpPricing $1.6B in new debt at higher rates to refinance existing notes and reduce credit facility borrowings increases interest expense and leverage.
International Business Machines