American Tower calls off $5.05 billion bridge loans for Verizon assets

By Susanna Moon

Chicago, March 3 – American Tower Corp. no longer needs the commitments for up to $5.05 billion of bridge loans to acquire some assets from Verizon Communications, Inc., according to an 8-K filing with the Securities and Exchange Commission.

The company said it decided Tuesday that it had enough cash and availability under its revolving credit facilities to fund the cash amount needed for the asset acquisition.

American Tower said on Feb. 5 that it entered into a commitment letter with Goldman Sachs Bank USA and Goldman Sachs Lending Partners LLC.

The company entered into three separate amendment agreements with

• Royal Bank of Scotland plc as administrative agent for the company’s $1.5 billion term loan entered into on Oct. 29, 2013;

• Toronto Dominion (Texas) LLC as administrative agent for the company’s $2 billion senior revolving credit facility entered into on June 28, 2013; and

• TD as administrative agent for the company’s $1.5 billion amended and restated senior revolving credit facility entered into on Sept. 19, 2014.

Each of the amendments amends the permitted ratio of total debt to adjusted EBITDA to 8 times for the fiscal quarters ending March 31, 2015 and June 30, 2015, to 7 times for the fiscal quarters ending Sept. 30, 2015 and Dec. 31, 2015 and to 6 times after that.

The company entered into a master agreement for the exclusive right to lease, acquire or otherwise operate and manage up to 11,489 Verizon wireless communications sites for $5,056,000,000 in cash.

The owner and operator of communications towers is based in Boston.

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