Level 3 says Legg Mason will participate in $880 million note offering

By Sheri Kasprzak

Atlanta, Feb. 28 - Level 3 Communications Inc. said The Legg Mason Opportunity Trust will participate in Level 3's previously announced $880 million convertible senior notes offering.

The direct placement was first announced Feb. 22. At that time, Legg Mason said it had the option to terminate its commitment - $100 million - if a portion of the Investment Company Act of 1940 prevented its participation.

The offering includes $880 million in 10% convertible senior notes due May 1, 2011. The notes are convertible into common shares at $3.60 each.

The offering still may need approval from Level 3's stockholders, but that determination will be made within the week.

The company plans to use the proceeds from the deal for general corporate purposes, possible acquisitions, working capital, capital expenditures, debt refinancing and debt repurchases.

Based in Broomfield, Colo., Level 3 is a communications and information services company providing wholesale dial-up service to internet service providers.

© 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.