Friday, May 29, 2020
- Advertisement -
Home DAS & In Building Wireless 5G T-Mobile Sells $19B of Senior Secured Notes

T-Mobile Sells $19B of Senior Secured Notes

Deal was made to help finance carrier’s acquisition of Sprint

Wireless carrier T-Mobile followed its recent $31 billion merger with Sprint by announcing it agreed to sell $19 billion of Senior Secured Notes to help finance the acquisition. The Senior Secured Note sales breakdown was as follows:

• $3,000,000,000 aggregate principal amount of its 3.500% Senior Secured Notes due 2025

• $4,000,000,000 aggregate principal amount of its 3.750% Senior Secured Notes due 2027

•$7,000,000,000 aggregate principal amount of its 3.875% Senior Secured Notes due 2030

• $2,000,000,000 aggregate principal amount of its 4.375% Senior Secured Notes due 2040

• $3,000,000,000 aggregate principal amount of its 4.500% Senior Secured Notes due 2050

The offering of the Notes is closed earlier this week. T-Mobile USA, the carrier’s wholly owned subsidiary, plans to use the net proceeds of this offering to repay amounts borrowed under the bridge credit agreement it incurred in connection with T-Mobile’s merger with Sprint Corporation and liabilities under related interest rate protection agreements.

The Notes were offered and sold only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A and in offshore transactions in reliance on Regulation S under the Securities Act. The Notes and related guarantees will not be registered under the Securities Act or any state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

In short, T-Mobile seems to be well capitalized and on its way to a bright future as a legitimate competitor to Verizon and AT&T.

- Advertisement -
- Advertisment -

Industry News

JC Penney brought to you by Amazon? Can you see it?

I was reading a number of stories and listening to the pundits opine about whether Amazon will buy JC Penney and I have to...

Service provider networks hold strong amid COVID-19

Nokia Deepfield traffic and security experts believe the COVID-19 pandemic will alter the Internet’s infrastructure, writes Light Reading Editor-in-Chief Phil Harvey. “I do believe that...

Office-building owners struggle paying mortgages during economic downturn

The COVID-19 pandemic is not just having a negative impact on small businesses—numerous office and apartment building owners are suddenly having trouble paying their...

T-Mobile’s Connecting Heroes program offers free 5G for first responders

T-Mobile CEO Mike Sievert recently announced the launch of, “Connecting Heroes”, a 10-year commitment to providing free service and 5G access to first responder...
- Advertisement -