By Paul A. Harris
Portland, Ore., Nov. 7 – DISH Network Corp. priced a $2 billion issue of 11¾% five-year senior secured notes (Ba3/B+) at 98.171 to yield 12¼% on Monday, according to market source.
The coupon came on top of coupon talk. The price came in line with price talk in the 98 area. The yield came tight to the 11¾% to 12% yield talk. Early coupon talk was 11¼% to 11½%. Early price talk was in the 98 area. Early yield talk was 11¾% to 12%.
The bonds broke lower, according to a sellside source, who had them at 97¼ bid, 97¾ offered heading into the Monday close.
Accounts canvassed spoke of getting full allocations, the source added.
The deal underwent document changes, which boosted the book size to $2.6 billion, according to the sellsider, who added that there appeared to be a healthy amount of reverse inquiry.
Meantime, a bond trader had the new DISH 11¾% secured notes due November 2027 at 97½ mid, commenting that they felt weak and adding that there was little if any indication of a stabilizing bid from the dealer.
Deutsche Bank Securities Inc. was the left bookrunner. Other bookrunners were J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and Guggenheim Securities.
Proceeds will be used for general corporate purposes, including the buildout of wireless infrastructure.
DISH is an Englewood, Colo.-based satellite broadcasting company.
| Issuer: | DISH Network
|
| Amount: | $2 billion
|
| Issue: | Senior secured notes
|
| Maturity: | Nov. 15, 2027
|
| Left bookrunner: | Deutsche Bank Securities Inc.
|
| Other bookrunners: | J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and Guggenheim Securities
|
| Coupon: | 11¾%
|
| Price: | 98.171
|
| Yield: | 12¼%
|
| First call: | May 15, 2025 at 105.875
|
| Trade date: | Nov. 7
|
| Settlement date: | Nov. 15
|
| Ratings: | Moody's: Ba3
|
| S&P: B+
|
| Distribution: | Rule 144A and Regulation S
|
| Price talk: | 11¾% coupon at approximately 98 to yield 12¼%
|
| Marketing: | Roadshow
|
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