NORWALK, Conn.--(BUSINESS WIRE)--Frontier Communications Corporation (NASDAQ:FTR) announced today that it has priced its previously announced private offering of $1.6 billion aggregate principal amount of Second Lien Secured Notes due 2026 (the “Notes”). The Notes will bear interest at 8.500% per year. The Notes will be sold at a price equal to 100% of the principal thereof. The settlement of the Notes is expected to occur on or about March 19, 2018, subject to customary closing conditions.
Frontier intends to use the proceeds from the offering to finance the cash consideration payable in connection with its previously announced offers to purchase for cash certain of its senior notes maturing in 2020, 2021, 2022 and 2023 and to pay related fees and expenses. Each of the tender offers will expire at 11:59 PM, New York City time on April 2, 2018, unless extended or earlier terminated by the Company in accordance with the terms of the Company’s Offer to Purchase and Consent Solicitation Statement, dated March 6, 2018 (the “Offer to Purchase”).
This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities, nor shall there be any sales of securities mentioned in this press release in any jurisdiction in which such offer, solicitation or sale would be unlawful. All offers of the Notes were made only by means of a private offering memorandum to qualified institutional buyers under Rule 144A under the Securities Act of 1933, as amended (the "Securities Act") and to persons outside of the United States under Regulation S under the Securities Act.
The Notes have not been registered under the Securities Act or the securities laws of any other jurisdiction and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
About Frontier Communications
Frontier Communications Corporation (NASDAQ:FTR) is a leader in providing communications services to urban, suburban, and rural communities in 29 states. Frontier offers a variety of services to residential customers over its fiber-optic and copper networks, including video, high-speed internet, advanced voice, and Frontier Secure® digital protection solutions. Frontier Business offers communications solutions to small, medium, and enterprise businesses.
This document contains "forward-looking statements," related to future, not past, events. Forward-looking statements address our expected future business and financial performance and financial condition, and contain words such as "expect," "anticipate," "intend," "plan," "believe," "seek," "see," "will," "would," or "target." Forward-looking statements by their nature address matters that are, to different degrees, uncertain. These risks and uncertainties include, but are not limited to: the success of Frontier's tender offers and consent solicitation under the Offer to Purchase, including the willingness of noteholders to tender their notes at the price and on the terms and conditions proposed by Frontier in the Offer to Purchase and their willingness to deliver consents in the consent solicitation; the completion of the settlement of the Notes offering; and the other factors that are described in our filings with the U.S. Securities and Exchange Commission, including our reports on Forms 10-K and 10-Q. These risks and uncertainties may cause our actual future results to be materially different than those expressed in our forward-looking statements. We do not undertake to update or revise these forward-looking statements.