CHICAGO, July 19, 2019 /PRNewswire/ -- ExteNet Systems, a leading provider of outdoor and indoor wireless and fiber connectivity solutions and the nation's largest independent owner and operator of distributed networks, including DAS and small cell solutions, today announced that it has successfully issued $368 million principal amount of securitized notes and $75 million principal amount of an undrawn Variable Funding Note. This transaction is the first ever asset-backed securitization financing for a portfolio entirely comprised of distributed wireless network solution assets. The securitized notes are rated by Kroll Bond Ratings Agency and Moody's Investor Services. Proceeds of the offering will be used to repay ExteNet's current outstanding indebtedness and for general corporate purposes. Concurrently, ExteNet completed a refinancing of its Senior Secured Credit Facility.
"ExteNet is experiencing tremendous growth as the major wireless carriers accelerate deployment of 5G services. Through this securitization financing ExteNet has accessed a deep and liquid institutional market and created a platform for future issuance. We've been thrilled with the response from the investment community," said Jim Hyde, President and CEO of ExteNet Systems. "The securitization transaction combined with our existing bank credit facilities provides us with significant capacity to finance our growth in existing and new markets as we continue to build out the network of the future including 5G and IoT, which we believe is the Infrastructure of Things."
The notes, which were sold at par, are comprised of three tranches: a $263 million tranche, rated A- by Kroll and A3 by Moody's; a $39 million tranche, rated BBB- by Kroll and Baa3 by Moody's; and a $66 million tranche, rated BB- by Kroll only.
The notes have not been, and will not be registered, under the Securities Act of 1933, as amended, and may not be offered or sold absent such registration, or an applicable exemption from the registration requirements thereunder. This press release is neither an offer to sell, nor a solicitation of an offer to buy any notes, nor shall there be any sale of the notes in any state or jurisdiction in which the offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
About ExteNet Systems, Inc.
Lisle, IL-based ExteNet Systems, Inc. is a leading provider of converged communications infrastructure and services addressing outdoor and in-building wireless, fiber and other advanced connectivity needs of its customers. Our customers include mobile network operators (MNOs), real estate owners, property managers, wholesale carriers, enterprises, municipalities and rural carriers. ExteNet's outdoor networks are deployed in a variety of urban, suburban and rural environments while indoor networks are typically deployed in property verticals like commercial office buildings, sports and entertainment venues, hotels and convention centers, healthcare facilities and transit systems. For more information, please visit www.extenetsystems.com.
"ExteNet®" is a registered trademark of ExteNet Systems, Inc.
SOURCE ExteNet Systems, Inc.