Charter Extends Maturities of Its Credit Facilities
Charter Communications (NASDAQ: CHTR) has announced significant debt restructuring through an amendment to its Credit Agreement. The company's subsidiary, Charter Communications Operating (CCO), has extended the maturity dates of substantial debt portions from 2027 to 2030 and 2031.
Key changes include: increasing the revolving credit facility by $960 million at SOFR plus 1.25%, with $960 million in Revolving B Commitments (maturing 2027) and $5.5 billion in new Revolving C Commitments (maturing 2030); converting existing loans into $4.5 billion Term A-7 loans at SOFR plus 1.25% (maturing 2030) and $2.5 billion Term B-5 Loans at SOFR plus 2.25% (maturing 2031).
Charter Communications (NASDAQ: CHTR) ha annunciato una significativa ristrutturazione del debito attraverso un emendamento al suo Accordo di Credito. La sussidiaria dell'azienda, Charter Communications Operating (CCO), ha esteso le scadenze di una parte consistente del debito dal 2027 al 2030 e 2031.
Le principali modifiche includono: l'aumento della linea di credito revolving di 960 milioni di dollari a SOFR più 1,25%, con 960 milioni di dollari in impegni di Revolving B (in scadenza nel 2027) e 5,5 miliardi di dollari in nuovi impegni di Revolving C (in scadenza nel 2030); la conversione dei prestiti esistenti in prestiti Term A-7 per un valore di 4,5 miliardi di dollari a SOFR più 1,25% (in scadenza nel 2030) e 2,5 miliardi di dollari in prestiti Term B-5 a SOFR più 2,25% (in scadenza nel 2031).
Charter Communications (NASDAQ: CHTR) ha anunciado una reestructuración significativa de la deuda a través de una enmienda a su Acuerdo de Crédito. La subsidiaria de la compañía, Charter Communications Operating (CCO), ha extendido las fechas de vencimiento de partes sustanciales de la deuda de 2027 a 2030 y 2031.
Los cambios clave incluyen: el aumento de la línea de crédito revolving en 960 millones de dólares a SOFR más 1,25%, con 960 millones de dólares en Compromisos Revolving B (que vencen en 2027) y 5,5 mil millones de dólares en nuevos Compromisos Revolving C (que vencen en 2030); la conversión de préstamos existentes en préstamos Term A-7 por 4,5 mil millones de dólares a SOFR más 1,25% (que vencen en 2030) y 2,5 mil millones de dólares en préstamos Term B-5 a SOFR más 2,25% (que vencen en 2031).
차터 커뮤니케이션즈 (NASDAQ: CHTR)는 신용 약정 개정을 통해 중요한 부채 구조 조정을 발표했습니다. 회사의 자회사인 차터 커뮤니케이션즈 운영 (CCO)은 2027년에서 2030년 및 2031년으로 상당 부채의 만기일을 연장했습니다.
주요 변경사항으로는: SOFR 플러스 1.25%의 회전 신용 한도를 9억 6천만 달러로 늘리고, 2027년에 만기가 도래하는 9억 6천만 달러의 회전 B 약정을 포함하며, 2030년에 만기가 도래하는 55억 달러의 새로운 회전 C 약정을 포함합니다; 기존 대출을 45억 달러의 Term A-7 대출로 전환하며, SOFR 플러스 1.25% (2030년에 만기) 및 25억 달러의 Term B-5 대출을 SOFR 플러스 2.25%로 전환합니다 (2031년에 만기).
Charter Communications (NASDAQ: CHTR) a annoncé une restructuration significative de sa dette par le biais d'un amendement à son Accord de Crédit. La filiale de la société, Charter Communications Operating (CCO), a prolongé les dates d'échéance de parties substantielles de la dette de 2027 à 2030 et 2031.
Les principaux changements incluent : l'augmentation de la ligne de crédit revolving de 960 millions de dollars à SOFR plus 1,25 %, avec 960 millions de dollars en engagements de Revolving B (échéance en 2027) et 5,5 milliards de dollars en nouveaux engagements de Revolving C (échéance en 2030) ; la conversion des prêts existants en prêts Term A-7 pour un montant de 4,5 milliards de dollars à SOFR plus 1,25 % (échéance en 2030) et 2,5 milliards de dollars en prêts Term B-5 à SOFR plus 2,25 % (échéance en 2031).
Charter Communications (NASDAQ: CHTR) hat eine bedeutende Schuldenrestrukturierung durch eine Änderung seines Kreditvertrags angekündigt. Die Tochtergesellschaft des Unternehmens, Charter Communications Operating (CCO), hat die Fälligkeitstermine erheblicher Schuldenanteile von 2027 auf 2030 und 2031 verlängert.
Zu den wichtigsten Änderungen gehören: die Erhöhung der revolvierenden Kreditlinie um 960 Millionen US-Dollar zu SOFR plus 1,25%, mit 960 Millionen US-Dollar in Revolving B-Verpflichtungen (fällig 2027) und 5,5 Milliarden US-Dollar in neuen Revolving C-Verpflichtungen (fällig 2030); die Umwandlung bestehender Kredite in 4,5 Milliarden US-Dollar Term A-7 Kredite zu SOFR plus 1,25% (fällig 2030) und 2,5 Milliarden US-Dollar Term B-5 Kredite zu SOFR plus 2,25% (fällig 2031).
- Extended debt maturities from 2027 to 2030/2031, improving financial flexibility
- Increased revolving credit facility by $960 million
- Successful debt restructuring without increasing interest rates significantly
- Additional debt obligations with new credit facilities
- Increased total revolving credit exposure
Insights
This debt restructuring represents a significant strategic move for Charter Communications, extending maturities on
The refinancing strengthens Charter's liquidity position and debt maturity profile, reducing near-term refinancing risk. The company's ability to secure these terms, including the increased revolving facility, demonstrates continued strong access to credit markets despite the challenging macro environment. The staggered 2030-2031 maturities provide improved financial flexibility and a more balanced debt schedule.
The pricing terms appear competitive given current market conditions, particularly the
After giving effect to the Amendment:
(i) the aggregate principal amount of CCO's revolving credit facility increased by
(a) an aggregate principal amount of existing Revolving B Commitments (maturing on August 31, 2027) of
(b) an aggregate principal amount of new Revolving C Commitments (maturing on March 15, 2030) of
(ii) a portion of the existing Term A-5 Loans were converted into new Term A-7 loans, with an aggregate principal amount of Term A-7 Loans outstanding of approximately
(iii) a portion of the existing Term B-2 Loans were converted into new Term B-5 Loans, with an aggregate principal amount of Term B-5 Loans outstanding of
CCO used proceeds from the Amendment plus cash on hand to repay all the remaining Term A-5 Loans and Term B-2 Loans not converted to Term A-7 or Term B-5 Loans, respectively, in connection with the Amendment, as well as to pay related fees and expenses.
About Charter
Charter Communications, Inc. (NASDAQ:CHTR) is a leading broadband connectivity company and cable operator with services available to more than 58 million homes and businesses 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 and sports programming to its customers through Spectrum Networks. More information about Charter can be found at corporate.charter.com.
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SOURCE Charter Communications, Inc.
FAQ
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