BOSTON-American Tower Corp. amended provisions of the loan agreement for senior secured credit facilities of some of its subsidiaries.
The provisions ease the company’s pro forma debt service covenant, tighten its leverage ratio and eliminate certain investment baskets. American Tower also said Verestar, which it is selling, is no longer a borrower but lenders can still claim its assets as collateral.
In all, the senior secured credit facilities include an $850 million term loan A, a $560 million term loan B, and a $650 million revolving line of credit, of which $490 million was undrawn and available as of Sept. 30, 2002. American Tower said it plans to borrow nominally, if at all, until free cash flow is achieved, which it anticipates for early 2003.
Following the news, shares of American Tower were trading at 85 cents, up 16.44 percent.
