Virgin Media offers $1.2 billion equivalent dollar- and sterling-denominated 10-year secured notes

By Paul A. Harris

Portland, Ore., May 8 – Virgin Media Ltd. plans to price $1.2 billion equivalent of 10-year senior secured notes (expected ratings Ba3/BB-/BB+) in a quick-to-market Wednesday trade following a mid-morning conference call with investors, according to market sources.

The deal is coming in tranches sized at $825 million and £300 million.

Early guidance on the dollar-denominated notes is in the 5¼% to 5 3/8% area, according to a trader, who added that the deal could be upsized.

Joint bookrunner Credit Suisse Securities (USA) LLC is lead left on the dollar-denominated tranche. Joint bookrunner Deutsche Bank is lead left on the sterling-denominated tranche. BofA Merrill Lynch, Barclays, BNP Paribas, Citigroup Global Markets Inc., HSBC, Morgan Stanley & Co. and Scotia Capital are also joint bookrunners.

The notes come with five years of call protection.

The issuing entity will be Virgin Media Secured Finance plc.

The Hook, U.K.-based cable TV and internet service provider plans to use the proceeds to repay $355 million and £387 million of 5½% senior secured notes due 2025 and £300 million of 6 3/8% senior notes due 2024.

© 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.