CommScope announces strategic refinancing with first-lien lenders

The company states: “CommScope (COMM) announced the closing of a comprehensive refinancing with its first-lien secured lenders. The Transaction will enable CommScope to address its upcoming 2025 and 2026 debt maturities and position the Company for future success. As part of the Transaction, CommScope entered into new agreements with a group of its existing first-lien lenders, including funds managed by Apollo and Monarch Alternative Capital, including a new $3.15B first-lien term loan, maturing in 2029, and $1B in first-lien notes, maturing in 2031. Proceeds from the New First-Lien Debt will enable the Company to fully repay its senior unsecured notes due 2025 and its existing senior secured term loan facility. Expected proceeds from the previously announced sale of the Company’s Outdoor Wireless Networks segment as well as the Distributed Antenna Systems business units to Amphenol Corporation for $2.1B, which is expected to close in Q1 2025, will be used to fully repay the Company’s senior secured notes due 2026, and provide a ratable redemption or other repayment of a portion of the Company’s senior secured notes due 2029. Following the use of net proceeds from the closing of the OWN and DAS asset sale, which is expected in Q1 2025, the Company anticipates meeting the conditions for the first term loan rate step down as part of the Transaction.”