New Issue: Charter prices $1 billion 10-year notes at par to yield 5 1/8%

By Paul A. Harris

Portland, Ore., Jan. 17 – Charter Communications, Inc. priced a $1 billion issue of senior notes due May 1, 2027 (B1/BB+/BB+) at par to yield 5 1/8% on Tuesday, according to market sources.

The yield came on top of both price talk and initial guidance.

BofA Merrill Lynch was the left bookrunner. Citigroup Global Markets Inc., Wells Fargo Securities LLC, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., UBS Investment Bank and Goldman Sachs & Co. were the joint bookrunners.

The Stanford, Conn.-based cable and internet services provider plans to use the proceeds to refinancing its 6 5/8% senior notes due 2022 and for general corporate purposes.

Issuers:	CCO Holdings, LLC and CCO Holdings Capital Corp.
Amount:	$1 billion
Maturity:	May 1, 2027
Securities:	Senior notes
Left bookrunner:	BofA Merrill Lynch
Joint bookrunners:	Citigroup Global Markets Inc., Wells Fargo Securities LLC, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., UBS Investment Bank, Goldman Sachs & Co.
Co-managers:	RBC Capital Markets, Mizuho Securities, SunTrust Robinson Humphrey Inc., U.S. Bancorp Investments Inc., MUFG, Scotia, Morgan Stanley & Co. LLC, TD Securities, Credit Agricole CIB, SMBC, J.P. Morgan Securities LLC, LionTree, Lebenthal & Co. LLC, Academy, Ramirez & Co. Inc., Williams Capital Group LP
Coupon:	5 1/8%
Price:	Par
Yield:	5 1/8%
Spread:	278 bps
Call:	Make-whole call at Treasuries plus 50 bps until May 1, 2022, then callable at a premium
Trade date:	Jan. 17
Settlement date:	Feb. 6
Ratings:	Moody's: B1
	S&P: BB+
	Fitch: BB+
Distribution:	Rule 144A and Regulation S
Price talk:	5 1/8% area
Marketing:	Quick to market

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