BOSTON-American Tower Corp. has closed its previously announced sale of 3-percent convertible notes due 2012.
The sale will result in net proceeds of approximately $335.9 million, which the company plans to use to refinance a portion of its outstanding 9.375-percent senior notes due 2009.
American Tower also announced the call for redemption of a portion of those 9.375-percent senior notes and set a redemption date for Sept. 20. The company intends to redeem $337 million principal amount of the notes, using the net proceeds from the 3-percent notes offering and an additional $25 million cash.
As a result of this redemption, the company expects a pre-tax loss of $30.4 million in the third quarter and savings of $21.2 million in annual interest expenses.
