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.