Summary
American Tower Corporation (AMT) announced on July 2, 2012, the execution of a $750.0 million unsecured term loan credit facility, maturing in five years on June 29, 2017. This facility provides the company with significant liquidity, with net proceeds of approximately $746.4 million. A substantial portion of these proceeds, around $632.0 million, was allocated to repay existing indebtedness under the company's revolving credit facility, strengthening its balance sheet.
Key Highlights
- 1Entered into a new $750 million unsecured term loan credit facility with a 5-year maturity.
- 2Received net proceeds of approximately $746.4 million from the new facility.
- 3Utilized approximately $632.0 million to repay existing debt under its $1.0 billion unsecured revolving credit facility.
- 4The remaining proceeds will be used for general corporate purposes.
- 5The term loan offers flexible interest rate options based on LIBOR or base rate, with margins tied to the company's debt ratings.
- 6The facility includes financial maintenance covenants such as consolidated total leverage ratio (<= 6.00x), senior secured leverage ratio (<= 3.00x), and interest coverage ratio (>= 2.50x).