SOURCE: Digicel


March 17, 2010 10:24 ET

Digicel Group Limited Prices Private Placement of US$775 Million Senior Notes Due 2018

Will Acquire 100% of Digicel Pacific Limited for US$825 Million

KINGSTON, JAMAICA--(Marketwire - March 17, 2010) -   Digicel Group Limited ("DGL") today announced it has priced the private placement of US$775 million of 10.5% senior notes due 2018. DGL is a Bermuda incorporated company owned by Mr. Denis O'Brien. 

The bonds were priced at par, and the net proceeds of this issue, together with cash-in-hand, will be used by DGL to fund the anticipated purchase of Digicel Pacific Limited ("DPL") for US$825 million. Mr. O'Brien holds an 84% stake in DPL, which operates in 6 markets in the South Pacific. 

US$200 million of the US$775 million issuance will be purchased in a concurrent private placement with Mr. O'Brien that will close simultaneously with the acquisition of DPL.

The bond issue is expected to close on March 22nd, 2010 and the acquisition of DPL by DGL is expected to close on April 1st, 2010.

The notes have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

This press release does not constitute an offer to sell or the solicitation of an offer to buy the notes, nor shall it constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful.

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