Intelsat Unit Prices Private Offering of Senior Notes Due 2024; Lifts Offer Amount to $2.25 Bln

Intelsat S.A (I), an integrated satellite communications company, said late Wednesday that its indirect wholly-owned subsidiary, Intelsat Jackson Holdings S.A., has priced a private offering of 8.500% senior notes due 2024.

The company said that the amount of notes to be issued has been increased from an initially contemplated $2.0 billion to $2.25 billion, according to a statement.

Intelsat Jackson also expects to launch a tender offer for 7.25% senior notes due 2020, which is expected to close substantially concurrently with the issuance of the 2024 notes. The tender is expected to be conditioned on, among other things, Intelsat Jackson having completed an offering of at least $2.0 billion of 2024 notes.

Intelsat’s unit expects to use the net proceeds to finance the tender offer and to fund the redemption of any 2020 senior notes not tendered in the offer.