Altice has announced that it has successfully priced $8.6 billion of new debt in connection with its acquistion of Cablevision Systems Corporation.
The new debt has been split into $3.8 billion of seven year senior secured term loan B; $1 billion of 10 year senior guaranteed notes; and $3.8 billion of seven-year and 10-year senior unsecured notes.
Altice adds that the Cablevision financing has an average cost of 7.6% and the average tenor is 7.9 years. When combined with the retained debt at Cablevision ($5.9 billion), the total Cablevision debt financing is equal to $14.5 billion, with an average tenor of 6.6 years and average cost of 7.5%.
In addition, Cablevision has secured a 5 year $2 billion revolving facility, ensuring ample room to meet Cablevision’s liquidity needs.
Separately, Altice has launched a 10% capital arising in new A and B shares by way of an accelerated book building targeted at institutional investors.
As previously announced, the proceeds of the placing will be used to finance in part the acquisition of Cablevision.
The value of the new shares will amount to at least €150 million.