Digicel Announces Pricing and Commitments for US$1,255 Million of Term Loans With Demand for Facilities More Than Twice Oversubscribed

KINGSTON, Jamaica, May 10, 2017 /PRNewswire/ --

Digicel Group is pleased to announce that its subsidiary Digicel International Finance Limited, has received commitments of US$1,255 million for new term loans, upsized from an initial US$935 million. The new loans are on improved terms with maturities of between five and seven years. In addition, following funding, a $100 million revolving credit facility will also be available.

Summary of new Commitments:

• Term Loan A of US$300 million (5 year facility, Libor +350bp)
• Term Loan B of US$955 million (7 year facility, Libor +375bp)
• Revolving Credit Facility of US$100 million (3 year facility, Libor +350bp)

Proceeds from the issuance of the loans, net of expenses, will be used:

• To repay existing Digicel facilities of US$916 million
• To redeem US$250 million of Digicel Limited 7.00% Senior Notes due 2020
• For General Corporate Purposes including capital expenditures

Both the Term Loan A and Term Loan B were significantly oversubscribed. Demand from investors in the upsized Term Loan B issue was strong with the book more than two-times over-subscribed and approximately 80 investors participating.

Colm Delves, Digicel Group CEO, commented, "We are very pleased with the level of support we received from a high quality group of lenders and investors in this upsized term loan issue. The transaction is consistent with the Group's strategy of proactively managing our debt maturity profile on improved terms, where practicable. We have successfully replaced 7% debt with lower coupon debt whilst pushing out our next material debt maturity to September 2020.The Group remains focused on de-leveraging over the near and medium term."

Commenting Blake Haider, Managing Director, Latin Credit Markets at Citi (Left Lead Arranger on the transaction), said: "The market's very positive response to Digicel's landmark transaction is extremely encouraging and supportive of the group's ongoing transformation programme, Digicel 2030. This financing represents the largest Term Loan B transaction issued in the Emerging Markets, and Citi is proud to be part of it."

Forward-Looking Statements 

This release contains forward-looking statements within the meaning of the federal securities laws of the United States. Certain other jurisdictions may have analogous concepts. Such forward-looking statements reflect, among other things, the completion of our proposed financing which is subject to various closing conditions and, management's current expectations, plans and strategies, and anticipated financial results, all of which are subject to known and unknown risks, uncertainties and factors that may cause our actual results to differ materially from those expressed or implied by these forward looking statements. Many of these risks are beyond our ability to control or predict.

Because of these risks, uncertainties and assumptions, you should not place undue reliance on these forward-looking statements. Furthermore, forward-looking statements speak only as of the date they are made. We do not undertake any obligation to update or review any such forward-looking information, whether as a result of new information, future events or otherwise.

For further information please contact:
Antonia Graham
Head of Group PR
+1-876-564-1708

SOURCE Digicel