Digicel amends bondholder offer as it seeks to change maturity date
Digicel has amended its offer to bondholders as it seeks to persuade them to swap notes for debt with a later maturity. Denis O’Brien’s telecoms company, which has $6.7 billion of debt, said in August it was looking for investors holding $2 billion of bonds due in 2020 to swap their notes for similar securities that would be due two years later. The group also wants holders of $1 billion of debt that matures in 2022 to exchange their bonds for new 2024 notes.
The offer will see holders of 2020 debt potentially swap their bonds for senior secured debt, with about $580 million out of the $2 billion available. Digicel is offering a higher ranking for the remaining debt, placing the notes above the bonds that are not being exchanged. The later dated debt will have a 2 per cent uplift over the original offer.
Denis O’Brien’s company has $6.7 billion of debt