Avanti Communications completes $242m refinancing

27th Jan 2017 13:39

(ShareCast News) - Avanti Communications Group announced the completion of its previously announced $242m refinancing on Friday, with the settlement of its consent solicitation.The AIM-traded firm said the consent allows the incurrence of up to $132.5m in super senior indebtedness and the payment of PIK interest on its 10% senior secured notes due 2019 in lieu of cash for certain future interest payments due on the existing notes.It also permits an offer to holders of its existing notes the opportunity to purchase up to $132.5m aggregate principal amount of 10% or 15% senior secured notes due 2021, as well as an offer to holders participating in the new money offer to exchange a portion of their existing notes for additional PIK toggle notes.Through the successful completion of the consent solicitation and the new money offer, the company will have received $80m of new cash funding, with an additional $50m of funding available on a delayed draw basis, and will have the ability to defer up to $112m of future interest payments through April 2018.The board said that additional liquidity will provide the company with significant working capital to launch HYLAS 4 and grow its capital structure."Avanti is grateful for the support of its investors and all stakeholders in completing the financing which supports the launch of HYLAS 4 this year," said Avanti CEO David Williams."We can now focus all of our energies on the delivery of market-beating service to a growing list of international telecoms customers."