New Issue: American Tower prices $1.5 billion of five-, 10-year senior notes

By Wendy Van Sickle and Cristal Cody

Columbus, Ohio, May 22 – American Tower Corp. priced $1.5 billion of fixed-rate senior notes (Baa3/BBB-/BBB+) in two tranches on Monday, according to an FWP filed with the Securities and Exchange Commission and details from a market source.

The company priced $650 million of 5.25% five-year notes at 99.712 to yield 5.312%, or a spread of 155 basis points over Treasuries. Price talk was in the Treasuries plus 175 bps area.

The issuer priced $850 million of 5.55% 10-year notes at 99.65 to yield 5.594%, or a spread over Treasuries of 187.5 bps. Talk had the notes coming with a spread in the 210 bps area.

J.P. Morgan Securities LLC, BBVA Securities Inc., BofA Securities, Inc., Citigroup Global Markets Inc. and Morgan Stanley & Co. LLC are the bookrunners.

Proceeds will be used to repay debt under the company’s 2021 multicurrency credit facility maturing June 30, 2025 and the 2021 credit facility maturing Jan. 31, 2027, and for general corporate purposes. Both credit facilities bear interest at 112.5 basis points over Libor.

American Tower is a telecommunications provider based in Boston.

Issuer:	American Tower Corp.
Amount:	$1.5 billion
Issue:	Senior notes
Bookrunners:	J.P. Morgan Securities LLC, BBVA Securities Inc., BofA Securities, Inc., Citigroup Global Markets Inc. and Morgan Stanley & Co. LLC
Senior co-managers:	Barclays, EA Markets Securities LLC, ING Financial Markets LLC, Mizuho Securities USA LLC, RBC Capital Markets, LLC, Santander US Capital Markets LLC, Scotia Capital (USA) Inc., SG Americas Securities, LLC, Standard Chartered Bank, SMBC Nikko Securities America, Inc. and TD Securities (USA) LLC
Co-managers:	Commerz Markets LLC, PNC Capital Markets LLC and Standard Bank of South Africa Ltd.
Trustee:	U.S. Bank Trust Co., NA
Counsel to issuer:	Cleary Gottlieb Steen & Hamilton LLP and in-house
Counsel to underwriters:	Gibson, Dunn & Crutcher LLP
Trade date:	May 22
Settlement date:	May 25
Ratings:	Moody’s: Baa3
	S&P: BBB-
	Fitch: BBB+
Distribution:	SEC registered
Five-year notes
Amount:	$650 million
Maturity:	July 15, 2028
Coupon:	5.25%
Price:	99.712
Yield:	5.312%
Spread:	Treasuries plus 155 bps
Call features:	Make-whole call before June 15, 2028 at greater of par and Treasuries plus 25 bps; at par thereafter
Price talk:	Treasuries plus 175 bps area
Cusip:	03027XCC2
10-year notes
Amount:	$850 million
Maturity:	July 15, 2033
Coupon:	5.55%
Price:	99.65
Yield:	5.594%
Spread:	Treasuries plus 187.5 bps
Call features:	Make-whole call before April 15, 2033 at greater of par and Treasuries plus 30 bps; thereafter at par
Price talk:	Treasuries plus 210 bps area
Cusip:	03027XCD0

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