8-KMaterial AgreementsFinancial Events

AMERICAN TOWER CORP /MA/ 8-K Report, Material Agreement (Mar 13, 2023)

Filed March 13, 2023For Securities:AMT

Summary

American Tower Corporation (AMT) announced on March 13, 2023, the entry into material definitive agreements related to a new financing transaction. Through its subsidiaries and a special-purpose trust, the Company issued $1.3 billion in Secured Tower Revenue Securities, Series 2023-1A, with an additional $68.5 million issued for risk retention purposes. The proceeds from this issuance were used to repay existing indebtedness and for general corporate purposes. The financing is structured as a nonrecourse loan secured by a portfolio of wireless communication tower sites and their associated cash flows. The securities have an expected life of approximately five years, with a final repayment date in March 2053, and are rated Aaa(sf)/AAA(sf) by Moody's/Fitch, respectively, for the primary tranche.

Key Highlights

  • 1AMT subsidiaries entered into new material definitive agreements for a financing transaction.
  • 2A special-purpose trust issued $1.3 billion in Secured Tower Revenue Securities (Series 2023-1A).
  • 3An additional $68.5 million in Series 2023-1R securities were issued to satisfy risk retention requirements.
  • 4Proceeds will be used to repay existing debt and for general corporate purposes.
  • 5The financing is a nonrecourse loan secured by wireless communication tower sites and their cash flows.
  • 6The Series 2023-1A securities received top-tier ratings: Aaa(sf) from Moody's and AAA(sf) from Fitch.
  • 7The securities have an expected life of approximately five years, with a final maturity in March 2053.

Frequently Asked Questions

The primary purpose of this new financing is to repay existing indebtedness and to fund general corporate purposes for American Tower Corporation.

This new debt is structured as a nonrecourse loan, issued through a trust, and secured primarily by mortgages on the Company's interests in certain wireless communications and related tower sites, as well as their operating cash flows.

The primary issuance totals $1.3 billion in Secured Tower Revenue Securities, Series 2023-1A, which received high ratings of Aaa(sf) from Moody's and AAA(sf) from Fitch. An additional $68.5 million was issued for risk retention purposes.

The securities have an expected life of approximately five years, with an anticipated repayment date in March 2028 for principal payments on certain components. The final repayment date for the entire unpaid principal balance is March 2053.