Liberty Latin America's: Puerto Rico headquarters (File photo)

Liberty raises for acquisition of AT&T’s Puerto Rico, US Virgin Islands assets

Liberty Latin America's: Puerto Rico headquarters (File photo)

Liberty Latin America Ltd  announced today its subsidiary, Liberty Communications Puerto Rico, has successfully completed the issuance of US $90 million of additional 6.75 per cent Senior Secured Notes due 2027, through LCPR Senior Secured Financing Designated Activity Company.

The transaction was executed on a Private Placement basis with a limited number of existing investors.

The company said in a release that the new notes, priced at 102.5 per cent of par, reflecting a yield to maturity of approximately 6.3 per cent, and will increase the principal size of the Issuer’s outstanding notes to $1,290 million.

The company indicated that proceeds from the issuance have been placed into escrow and will support the funding of LCPR’s $1.95 billion acquisition of AT&T’s assets in Puerto Rico and the US Virgin Islands, expected to close in the second half of 2020.

Naji Khoury, CEO of LCPR, said the raise was a sign of investor confidence in the company. He said, “We are pleased to see continued support and trust from our investor base.”

He noted that since the announcement of our acquisition of AT&T’s assets in Puerto Rico & the USVI last October, Liberty has made “significant progress on the integration and regulatory approval process and remain on track to close the transaction later this year.”

Khoury stated that the company remained bullish on about combination with AT&T “and the prospect of creating the leading integrated communications and entertainment provider in Puerto Rico.”

Liberty Latin America is a communications company operating in over 20 countries across Latin America and the Caribbean under the consumer brands VTR, Flow, Liberty, Más Móvil, BTC, UTS and Cabletica.

Liberty Latin America operates a sub-sea and terrestrial fibre optic cable network that connects over 40 markets in the region.