Cogent Communications to redeem its 5 3/8% notes due 2022 in full

By Rebecca Melvin

Concord, N.H., April 29 – Cogent Communications Group Inc. said it plans to redeem the $284.1 million remaining outstanding of its 5 3/8% senior secured notes due 2022 using the proceeds of a new notes offering, according to a company news release.

The company also announced it plans to offer $500 million of new senior secured notes due 2026.

Earlier this month, Cogent issued a notice of conditional partial redemption for the notes, and is redeeming $45 million of the principal amount of the notes at par plus a make-whole amount of $41.41533 per $1,000 of notes and accrued interest on May 6. Accrued and unpaid interest will be $9.70486 per $1,000 of notes.

The new notice of conditional full redemption slates Dec. 1, 2021 as the redemption date. On the issue date of the new notes, Cogent intends to satisfy its obligations under the existing secured note by depositing on the issue date of the new notes funds sufficient to pay the principal and interest of the notes. Any remaining net proceeds from the new issue will be used for general corporate purposes and/or to make special or recurring dividends to the company.

Cogent Communications Group is a wholly owned subsidiary of Cogent Communications Holdings Inc. and provides internet services from its base in Washington, D.C.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.