LOUISVILLE, Colo. – April 20, 2010 – Zayo Group, LLC, a provider of Bandwidth Infrastructure and Network Neutral Colocation services, announced today that it has issued $250 million first lien senior secured notes, strengthening the company’s long-term capital structure and positioning it for further growth as a leading provider of telecommunications and Internet infrastructure services.
A portion of the proceeds from the offering were used to repay all outstanding amounts under the Company’s former credit agreements. The remaining balance of the Notes will be used for general corporate purposes, which may include organic growth and/or acquisitions.
“This offering further strengthens our capital structure and provides Zayo with additional resources to continue to execute on our strategy of becoming a leader in Bandwidth Infrastructure and Network Neutral Colocation services,” said Dan Caruso, president and CEO of Zayo.
Morgan Stanley and Royal Bank of Canada were joint book-running managers on the offering. Barclays, Oppenheimer and SunTrust Robinson Humphreys served as co-managers.
The notes will pay interest at a rate of 10.25% and mature in 2017. Moody’s Investor Service (Moody’s) and Standard and Poor’s (S&P) have rated the Notes as B2 and B respectively.
About Zayo Group
Based in Louisville, Colo., Zayo Group (www.zayo.com) is a provider of Bandwidth Infrastructure and Network Neutral Colocation services. Zayo provides its services over a 20,000 route mile fiber network that spans 141 markets and 23 states. Zayo Group’s equity is privately held.
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