SOURCE: Cequel Communications Holdings I, LLC

January 13, 2011 15:45 ET

Cequel Announces Pricing of Private $625 Million Debt Offering

ST. LOUIS, MO--(Marketwire - January 13, 2011) - Cequel Communications Holdings I, LLC ("Cequel") and its subsidiary co-issuer, Cequel Capital Corporation, announced today the pricing of their previously announced private offering to eligible purchasers. The $625 million aggregate principal amount of 8.625% Senior Notes due 2017 (the "Notes") are being offered at a price of 102.875% plus accrued interest from November 15, 2010 to the date of delivery. The Notes will form a part of the same series as the outstanding $1.2 billion aggregate principal amount of 8.625% Senior Notes due 2017 co-issued on November 4, 2009, and May 4, 2010, by Cequel and Cequel Capital Corporation. The Notes are being offered only to qualified institutional investors pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"), and to persons outside the United States in compliance with Regulation S under the Securities Act.

The net proceeds from the sale of the Notes and cash on hand will be used to fund the acquisition of NPG Cable, Inc.; repay all of the original capital contributions made by holders of preferred interests of Cequel's parent; repay a portion of the capital contributions made by holders of common interests of Cequel's parent; make certain payments to holders of options in and restricted common units of Cequel's parent; and pay related costs, fees and expenses.

The Notes have not been registered under the Securities Act or any state securities laws, and unless so registered, may not be offered or sold in the United States except with an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws. This press release does not constitute an offer to sell or the solicitation of an offer to buy any security and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offering, solicitation or sale would be unlawful.

This press release contains "forward-looking statements," within the meaning of the Private Securities Litigation Reform Act of 1995 that involve a number of risks and uncertainties. Forward looking statements, which are based on management's current expectations, are generally identifiable by the use of terms such as "may," "will," "expects," "believes," "intends," "anticipates" and similar expressions. Because these forward-looking statements involve known and unknown risks and uncertainties, there are important factors that could cause actual results, events or developments to differ materially from those expressed or implied by these forward-looking statements. Readers are cautioned not to place undue reliance on such forward-looking statements. All information is current as of the date this press release is issued, and Cequel undertakes no duty to update this information.

Contact Information

  • Contact:
    Pete Abel
    314-315-9346