Altice’s CSC Holdings driving by with $750 million 10.5-year notes talked at 5¾%-5 7/8%

By Paul A. Harris

Portland, Ore., July 1 – CSC Holdings, LLC, a subsidiary of Altice USA, Inc., plans to price a $750 million offering of 10.5-year senior notes (expected ratings B3/B) in a quick-to-market Monday trade following a mid-morning conference call with investors, according to market sources.

Price talk is 5¾% to 5 7/8%, tighter than initial guidance in the 6% area.

Books close at 1 p.m. ET on Monday, and the notes are set to price thereafter.

Citigroup Global Markets Inc. is the lead bookrunner for the Rule 144A and Regulation S for life offering. Barclays, BNP Paribas Securities Corp., Credit Agricole CIB, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Goldman Sachs & Co. LLC, Morgan Stanley & Co. LLC, Scotia Capital (USA) Inc., TD Securities (USA) LLC and Wells Fargo Securities LLC are the joint bookrunners.

The notes feature a make-whole call at Treasuries plus 50 basis points for the first 5.5 years, then become callable at par plus 50% of the coupon. They also feature a three-year 40% equity clawback at par plus the coupon and a 101% poison put.

The New York-based telecom plans to use the proceeds to pay off its revolving credit facility and for general corporate purposes.

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