BOSTON-American Tower Corp. said it closed the sale of its 7.125-percent senior notes due 2012 for a total of $200 million principal amount of notes.
Net proceeds to the company from the sale are about $199.8 million. American Tower said it will use the proceeds to repurchase and redeem some of its outstanding 9.375-percent senior notes due 2009. The company began that process today by repurchasing about $85.2 million of the notes.
Subscribe now to get the daily newsletter from RCR Wireless News
American Tower said it plans to use the remainder of the net proceeds in addition to $30.1 million in cash on hand to redeem $133 million principal amount of the 9.375-percent senior notes, for which the company has set a redemption date of Jan. 5. As a result of the repurchase and redemption programs, American Tower expects to record an aggregate pre-tax loss during the fourth quarter of this year and the first quarter of next year.
