Uniti Group Inc. has recently announced a private offering of senior notes, with its subsidiaries commencing an offering of $600 million aggregate principal amount of senior notes due 2032. The net proceeds from this offering are intended to fund the partial redemption of $500 million aggregate principal amount of their outstanding 10.50% senior notes due 2028.
The company's subsidiaries, including Uniti Group LP, Uniti Fiber Holdings Inc., Uniti Group Finance 2019 Inc., and CSL Capital, LLC, plan to use the net proceeds from the offering of the notes to fund the redemption of the 2028 secured notes, including related premiums, fees, and expenses. The redemption of the 2028 secured notes is scheduled for June 24, 2025, and is conditioned upon completing one or more debt financings in an aggregate gross proceeds amount of at least $550 million.
It's worth noting that the notes being offered will not be registered under the securities act and may only be offered to qualified institutional buyers under rule 144a under the securities act and outside the United States in compliance with regulation s under the securities act.
As of March 31, 2025, Uniti Group Inc. owns approximately 147,000 fiber route miles, 8.8 million fiber strand miles, and other communications real estate throughout the United States, positioning itself as a leading provider of fiber and other wireless solutions for the communications industry.
As a result of these announcements, the company's shares have moved -2.87% on the market, and are now trading at a price of $4.225. For the full picture, make sure to review Uniti's 8-K report.
