UPC Distribution gets €1 billion loan to fund term B amortization payments

By Sara Rosenberg

New York, Jan. 20 - UPC Distribution Holding BV, UnitedGlobalCom Inc.'s wholly owned cable television operation in Europe, closed on a new €1 billion credit facility that will be used to fund term B scheduled amortization payments between December 2004 and December 2006.

Furthermore, the company amended its existing €3.5 billion senior bank facility to allow for this new loan and to change financial covenants, prepayment provisions, acquisitions and the acquisition basket, providing the company with greater flexibility, according to a UnitedGlobalCom news release.

UPC's new facility will have a bullet repayment on June 30, 2009 and will have substantially the same terms as the existing loan.

Subject to debt permitted to fund additional acquisitions, the total size of the combined drawn facilities will not exceed €3.5 billion in aggregate.

"We are delighted to have agreed to these changes to our bank facility which again demonstrates the strong support of our bank group. The new facility of €1.0 billion due in 2009 addresses all of our debt amortization requirements for the next three years and certain other amendments to the bank facility will continue to provide our broadband division with covenant headroom," said Mike Fries, president and chief executive officer of UnitedGlobalCom, in the release.

UnitedGlobalCom is a Denver-based broadband communications provider.

© 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.