Summary
American Tower Corporation (AMT) announced on December 5, 2017, that it has successfully priced a public offering of senior unsecured notes, raising a total of $1.4 billion. This offering consists of $700 million in notes due in 2023 with a 3.000% interest rate and $700 million in notes due in 2028 with a 3.600% interest rate. The issuance was priced at a slight discount to face value, indicating favorable market conditions for the company's debt issuance.
Key Highlights
- 1AMT priced a $1.4 billion public offering of senior unsecured notes.
- 2The offering includes $700 million in notes due 2023 with a 3.000% coupon.
- 3The offering also includes $700 million in notes due 2028 with a 3.600% coupon.
- 4The 2023 notes were issued at 99.742% of face value.
- 5The 2028 notes were issued at 99.476% of face value.
- 6The press release announcing the pricing was filed as an exhibit.
- 7This action indicates the company's strategy to raise capital through debt markets.
Frequently Asked Questions
This 8-K filing primarily announces the pricing of American Tower Corporation's registered public offering of senior unsecured notes due 2023 and 2028.
American Tower Corporation raised an aggregate principal amount of $1.4 billion through this offering, split evenly between the two series of notes.
The company issued $700 million of 3.000% senior unsecured notes due 2023 and $700 million of 3.600% senior unsecured notes due 2028. The 2023 notes were priced at 99.742% of face value, and the 2028 notes were priced at 99.476% of face value.
Pricing the notes at a discount (slightly below face value) means that investors purchasing these notes will receive a slightly higher effective yield than the stated coupon rate, as they are paying less than the face value to acquire them.