Alaska Communications plans $235 million credit facilities for buyout

By Sara Rosenberg

New York, Jan. 25 – Alaska Communications Systems Group Inc. has received a commitment for $235 million of senior secured credit facilities to help fund its acquisition by a newly formed entity owned by ATN International Inc. and Freedom 3 Capital LLC, according to a PREM14A filed with the Securities and Exchange Commission on Monday.

The facilities consist of a $35 million revolver and $200 million of term loans.

Fifth Third Bank provided the debt commitment.

Other funds for the transaction will come from about $172 million of equity.

Under the agreement, Alaska Communications is being bought for $3.40 per share in cash. The transaction is valued at about $332 million, including net debt.

Closing is expected in the second half of this year, subject to approval of Alaska Communications’ stockholders, regulatory approvals and other customary conditions.

Alaska Communications is an Anchorage-based provider of advanced broadband and managed IT services for businesses and consumers in Alaska.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.