SBA Communications Corporation Announces Pricing of $1.1 Billion of 4.875% Senior Notes
August 02 2016 - 8:30AM
SBA Communications Corporation (NASDAQ:SBAC) (“SBA”) announced
today that it has priced an offering of $1.1 billion of senior
notes due 2024 (the “Notes”), which was upsized from the previously
announced $800 million. SBA expects the closing of the Notes
to occur on August 15, 2016. The Notes will have an interest coupon
of 4.875% and will be issued at a price of 99.178% of their face
value for an effective yield of 5.0%.
SBA intends to use the net proceeds from the offering and cash
on hand to redeem $800 million, the aggregate principal amount
outstanding, of SBA Telecommunications, LLC’s 5.75% senior notes
due 2020 and $250 million of SBA’s 5.625% senior notes due 2019 and
pay the associated call premiums.
The Notes will be offered only to qualified institutional buyers
in accordance with Rule 144A under the Securities Act of 1933, as
amended (the “Securities Act”), and to non-U.S. persons in
transactions outside the United States in reliance on Regulation S
under the Securities Act. The Notes have not been registered under
the Securities Act, or any state securities laws, and may not be
offered or sold in the United States absent registration or an
applicable exemption from the registration requirements of the
Securities Act and applicable state securities laws. SBA has agreed
to file a registration statement with the Securities and Exchange
Commission (the “SEC”) pursuant to which SBA will either offer to
exchange the Notes for substantially similar registered notes or
register the resale of the Notes. This press release does not and
will not constitute an offer to sell any of the Notes or the
solicitation of an offer to buy the Notes, nor shall there be any
sale of the Notes in any jurisdiction in which such offer,
solicitation or sale would be unlawful.
About SBA Communications Corporation
SBA Communications Corporation is a first choice provider and
leading owner and operator of wireless communications
infrastructure in North, Central and South America. By “Building
Better Wireless”, SBA generates revenue from two primary
businesses—site leasing and site development services. SBA’s
primary focus is the leasing of antenna space on its multi-tenant
towers to a variety of wireless service providers under long-term
lease contracts.
Information Concerning Forward-Looking
Statements
This press release includes forward-looking statements regarding
the offering of the Notes and the intended use of the net proceeds.
These forward-looking statements may be affected by risks and
uncertainties in SBA’s business and market conditions. This
information is qualified in its entirety by cautionary statements
and risk factor disclosure contained in SBA’s SEC filings,
including SBA’s report on Form 10-K filed with the SEC. SBA wishes
to caution readers that certain important factors may have affected
and could in the future affect SBA’s actual results and could cause
SBA’s actual results for subsequent periods to differ materially
from those expressed in any forward-looking statement made by or on
behalf of SBA, including the risk that the offering of the Notes
cannot be successfully completed. SBA undertakes no obligation to
update forward-looking statements to reflect events or
circumstances after the date hereof.
Your Signal Starts Here.
Contacts:
Mark DeRussy, CFA
Capital Markets
561-226-9531
Lynne Hopkins
Corporate Communications
561-226-9431
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