tw telecom Joins Other Providers in Refinancing Debt

tw telecom inc. (TWTC) shares closed 3.6 percent higher, at $17.56, on Friday after the Denver-based CLEC started selling $430 million worth of senior notes.

tw telecom aims to pay off debt with a 2014 due date and a 9.25 percent interest rate. The new offering comes with an 8 percent interest rate and matures in 2018.

The offering will close March 17.

Several CLECs are taking advantage of a market that seems to be loosening its purse strings to refinance their debt. Birch Telecom said in December it wants to raise $100 million, Level 3 Communications is working to raise $640 million and Qwest is doing a $1.2 billion debt buy-back. CLEC Deltacom, however, recently pulled its plans for a debt offering, saying the cost of capital had grown too high.

Leave a comment

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>


In our Channel Influencer Awards digital issue, we highlighted eight technologies ready to "take off" in the channel this year. Which two will take off the most?

View Results

Loading ... Loading ...
The ID is: 81091