Charter Closes $1.5 Billion Senior Unsecured Notes

Rhea-AI Summary

Charter Communications has successfully closed a deal for $1.5 billion in senior unsecured notes maturing in 2032. These notes, which carry an interest rate of 4.500% per annum, were issued at a price of 103.750% of their principal amount. The issuance follows an earlier bond sale in March 2020. The securities were sold to qualified institutional buyers under specific regulatory exemptions, as they have not been registered under the Securities Act. This strategic financing aims to strengthen Charter's capital structure.

Positive

• Raised $1.5 billion in senior unsecured notes.
• Interest rate of 4.500% provides attractive financing terms.
• Strengthens capital structure ahead of growth opportunities.

Negative

• None.

STAMFORD, Conn., Oct. 13, 2020 /PRNewswire/ -- Charter Communications, Inc. (NASDAQ: CHTR) (along with its subsidiaries, "Charter") today announced that its subsidiaries, CCO Holdings, LLC and CCO Holdings Capital Corp. (collectively, the "Issuers"), have closed on $1.5 billion in aggregate principal amount of senior unsecured notes due 2032 (the "Notes"). The Notes form a part of the same series as the Issuers' senior unsecured notes due 2032 issued on March 18, 2020, which bear interest at a rate of 4.500% per annum. The Notes were issued at a price of 103.750% of the aggregate principal amount.

The Notes were sold to qualified institutional buyers in reliance on Rule 144A and outside the United States to non-U.S. persons in reliance on Regulation S. The Notes have not been registered under the Securities Act of 1933, as amended (the "Securities Act"), or any state securities laws and, unless so registered, may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws.

This news release is neither an offer to sell nor a solicitation of an offer to buy the Notes and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation, or sale is unlawful.

About Charter 

Charter Communications, Inc. (NASDAQ: CHTR) is a leading broadband connectivity company and cable operator serving more than 30 million customers in 41 states through its Spectrum brand. Over an advanced communications network, the company offers a full range of state-of-the-art residential and business services including Spectrum Internet^®, TV, Mobile and Voice.

For small and medium-sized companies, Spectrum Business^® delivers the same suite of broadband products and services coupled with special features and applications to enhance productivity, while for larger businesses and government entities, Spectrum Enterprise provides highly customized, fiber-based solutions. Spectrum Reach^® delivers tailored advertising and production for the modern media landscape. The company also distributes award-winning news coverage, sports and high-quality original programming to its customers through Spectrum Networks and Spectrum Originals. More information about Charter can be found at corporate.charter.com.

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SOURCE Charter Communications, Inc.

FAQ

What was the purpose of Charter Communications' $1.5 billion bond issuance on October 13, 2020?

The bond issuance was aimed at strengthening Charter's capital structure and financing future growth.

What is the interest rate on the senior unsecured notes issued by Charter Communications?

The senior unsecured notes carry an interest rate of 4.500% per annum.

When do the senior unsecured notes issued by Charter Communications mature?

The senior unsecured notes are set to mature in 2032.

What percentage of the principal amount were the notes issued at?

The notes were issued at a price of 103.750% of the aggregate principal amount.

Who were the buyers of the senior unsecured notes issued by Charter Communications?

The notes were sold to qualified institutional buyers and non-U.S. persons under regulatory exemptions.