American Tower Corporation Completes $1.2 Billion Offering of Senior Unsecured Notes

American Tower Corporation (NYSE: AMT) announced on November 21, 2024, the successful completion of a registered public offering of $600.0 million aggregate principal amount of its 5.000% senior unsecured notes due 2030 and $600.0 million aggregate principal amount of its 5.400% senior unsecured notes due 2035. This offering resulted in aggregate net proceeds of approximately $1,183.7 million for the company, after deducting commissions and estimated expenses.

The net proceeds from this offering are intended to be utilized by American Tower to repay existing indebtedness under its senior unsecured multicurrency revolving credit facility of $6.0 billion, as amended and restated in December 2021, and its senior unsecured revolving credit facility of $4.0 billion, also amended and restated in December 2021.

These notes were issued under an indenture dated June 1, 2022, supplemented by a supplemental indenture dated November 21, 2024, between American Tower and U.S. Bank Trust Company. The 5.000% senior notes due 2030 and 5.400% senior notes due 2035 will pay interest semi-annually in arrears in U.S. Dollars, commencing on July 31, 2025. The notes carry certain covenants that limit the company’s actions related to merging, selling assets, and incurring liens, among other provisions.

American Tower has the option to redeem these notes partially or in full at its discretion, at applicable redemption prices. In the event of a Change of Control and Ratings Decline, the company may be required to repurchase all the notes at a specified purchase price.

The terms of the indenture outline various scenarios that would constitute an Event of Default, triggering immediate repayment of the principal amount and accrued and unpaid interest on the outstanding notes. Events of Default include failure to make payments, non-compliance with covenants, and certain bankruptcy or insolvency events concerning the company or its Significant Subsidiaries.

In compliance with SEC regulations, the full text of the Base Indenture and Supplemental Indenture No. 7 can be found in the company’s filing dated November 21, 2024.

For more information regarding the legal opinion on the notes’ issuance, the company has included the exhibit of Cleary Gottlieb Steen & Hamilton LLP’s opinion along with other relevant financial documents and exhibits.

This filing signifies a significant financial move by American Tower Corporation, allowing the company to manage its debt obligations effectively and optimize its financial structure for future growth and stability.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read American Tower’s 8K filing here.

About American Tower

American Tower, one of the largest global REITs, is a leading independent owner, operator and developer of multitenant communications real estate with a portfolio of over 224,000 communications sites and a highly interconnected footprint of U.S. data center facilities.