Uniti Group Inc. Announces Pricing and Upsizing of Senior Secured Notes Offering

About this update from Uniti Group Inc.

[{"type":"text","content":"LITTLE ROCK, Ark., Feb. 05, 2020 (GLOBE NEWSWIRE) -- Uniti Group Inc. (the “Company”, “Uniti”, or “we”) (Nasdaq: UNIT) today announced that its subsidiaries, Uniti Group LP, Uniti Fiber Holdings Inc., Uniti Group Finance 2019 Inc. and CSL Capital, LLC (together, the “Issuers”), have priced their offering of $2.25 billion aggregate principal amount of 7.875% senior secured notes due 2025 (the “notes”), which represents an increase of $500 million from the previously announced offering size of $1.75 billion. The notes will be issued at an issue price of 100.000%. The offering is expected to close on February 10, 2020, subject to customary closing conditions and the receipt of executed consents to the amendment and limited waiver to the Company’s senior secured credit facilities (as further described below). The Issuers intend to use the net proceeds from the offering to repay all $2.05 billion of outstanding borrowings under Uniti’s term loan facility and $156.7 million of outstanding borrowings under Uniti’s revolving credit facility (and will terminate related revolving commitments in an amount equal to $157.6 million).\n In connection with the offering, the Company is seeking an amendment and waiver from the lenders under its senior secured credit facilities. The amendment and waiver will waive any potential default that would arise if the Company’s financial statements for 2019 include a “going concern” statement. As of the date hereof, the Company has consents from lenders that will constitute the required majority of lenders (after giving effect to the repayment and termination described above) to make such amendment and waiver effective, and the effectiveness of the amendment and waiver is conditioned on such repayment and termination. The notes will be guaranteed on a senior unsecured basis by the Company and on a senior secured basis by each of the Company’s subsidiaries (other than the Issuers) that guarantees indebtedness under the Company’s senior secured credit facilities (the “Subsidiary Guarantors”). The notes and the subsidiary guarantees will be secured by first-priority liens on substantially all of the assets of the Issuers and the Subsidiary Guarantors (subject to certain exceptions), which liens will also ratably secure the Company’s existing secured notes and its senior secured credit facilities. The notes wi...

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