Charter Communications Inc. subsidiaries Charter Communications Operating LLC and Charter Communications Operating Capital Corp. completed a $1.5 billion offering of notes.
The offering consisted of $1.1 billion of senior secured fixed-rate notes due 2024 and $400 million of senior secured floating-rate notes due 2024. The fixed-rate notes, which bear an annual interest rate of 4.500%, were issued at a price of 99.893% of the aggregate principal amount. The floating-rate notes, which will bear interest at a rate of three-month London Interbank Offered Rate, reset quarterly, plus 165 basis points, were issued at a price of 100.000% of the aggregate principal amount.
Charter previously said it intends to use the net proceeds for general corporate purposes, which includes funding potential buybacks of class A common stock of Charter or common units of Charter Holdings.