Tigo Paraguay starts tender offer for up to $55 million 5 7/8% notes

By Mary-Katherine Stinson

Lexington, Ky., Nov. 7 – Millicom International Cellular SA (Tigo) subsidiary Telefonica Celular del Paraguay SAE (Telecel), launched a tender offer Nov. 4 to purchase for cash up to $55 million of its $550 million outstanding 5 7/8% senior notes due 2027 (ISINs: US87936VAB36, USP90475AB31), according to a press release.

The company is offering to pay $927.50 per $1,000 of principal amount tendered, which includes an early tender premium of $30 per $1,000 of principal.

Noteholders tendering after the early deadline will receive $897.50 per $1,000 of principal amount tendered.

The early tender deadline, which is also the withdrawal deadline, is 5 p.m. ET on Nov. 18.

The offer expires at 11:59 p.m. ET on Dec. 5 with final payment expected on Dec. 6.

The company stated the purpose of the tender offer is to purchase outstanding debt issued or assumed by Millicom or issued by a subsidiary issuer and to reduce Millicom’s consolidated debt consistent with the company’s previously announced plans.

Citigroup Global Markets Inc. (212 723-6106, 800 558-3745, ny.liabilitymanagement@citi.com) and Scotia Capital (USA) Inc. (212 225-5501, 800 372-3930, LM@scotiabank.com) are the dealer managers for the offer.

D.F. King & Co., Inc. (800 431-9645, 212 269-5550, telefonica@dfking.com) is the information agent and the tender agent.

Tigo Paraguay is a subsidiary of Millicom International Cellular, a voice, data and cable television company based in Luxembourg. Paraguay is its biggest market.

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