Moody's rates Crown Castle notes B1

Moody's Investors Service said it assigned a B1 rating to Crown Castle International Corp.'s proposed $500 million senior notes due 2022. The outlook is stable.

The agency expects the company to use the note proceeds and cash on hand to purchase or redeem all of its outstanding 7 1/8% senior notes due 2019.

Crown Castle's rating reflects the company's position as the leading independent wireless tower operator in the United States with a strong operational profile and the ability to generate significant free cash flow despite the recent resumption of share purchase activity and initiation of a new dividend beginning in the first quarter of 2014, Moody's said.

At the same time, Crown Castle's rating is constrained by the significant increase in debt levels since 2011 to finance a string of acquisitions and by its significant customer concentration, the agency said.

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