Summary
American Tower Corporation (AMT) announced on April 3, 2020, the execution of a new $1.14 billion unsecured Term Loan Agreement. This facility matures on April 2, 2021, and does not require principal amortization, offering flexibility with the option for early repayment without penalty. The primary use of these proceeds is to reduce outstanding debt under its existing revolving credit facility and for general corporate and working capital needs.
Key Highlights
- 1Secured a new $1.14 billion unsecured term loan facility.
- 2The term loan matures on April 2, 2021.
- 3No principal amortization is required; the full amount is due at maturity.
- 4Borrowers have the option to prepay the loan in whole or in part at any time without penalty.
- 5Proceeds will be used to repay existing revolving credit facility debt and for general corporate purposes.
- 6The loan carries interest rates of 1.75% above LIBOR or 0.75% above a defined base rate.
- 7The agreement includes financial covenants related to the Company's total leverage ratio (not greater than 6.00:1.00) and senior secured leverage ratio (not greater than 3.00:1.00).