Pan African leading telecommunications group Liquid Telecom intends to release a $700 million bond and term loan financing package through its inhouse financier Liquid Telecommunications Financing PLC to refinance the group’s existing debt and to support its growth strategy.
Liquid Telecom boasts of building Africa’s largest independent fibre network, stretching over 50,000km and connecting more countries on a single network.
“Funds from the new financing are intended to support Liquid Telecom as it continues to rapidly scale and expand its network capabilities and service offering across Africa. Through a combination of organic growth and acquisition,” said the company in a statement.
Liquid added that this financing package should bring long term benefits to their growing portfolio.
Liquid Telecom serves businesses of all sizes through an extended service offering, which includes integrated software, cloud, hosting and connectivity capabilities.
“Today is another important step for Liquid Telecom as we continue our journey to bring high-speed connectivity to more of Africa,” said Liquid Telecom Group CEO, Nic Rudnick. “Through additional funding, we hope to be able to continue this period of accelerated growth for the group, enabling us to extend our network footprint across more of the continent.”
Liquid Telecom has mandated Joint Lead Managers and Joint Bookrunners to arrange a series of meetings with fixed income investors in Europe, the US and Asia which commenced last week.
“A US$-denominated Regulation S / Rule 144A benchmark senior secured note offering will follow subject to market conditions. The proceeds of the issuance will be used for refinancing existing debt and general corporate purposes. The proposed senior secured notes are expected to be rated in line with the corporate ratings of Ba3 (stable) by Moody’s, and B+ (stable) by Fitch. Relevant stabilisation regulations including FCA/ICMA apply,” noted Liquid.