Zayo Group has followed through on its promise to expand on that long-awaited IPO of theirs in October. They have commenced their follow-on public offering that will put another 16M shares or so in the hands of the public.
12M of those are coming from their private equity backers, while the other 4M will actually raise money for Zayo’s coffers. At current prices, that should raise some $100M or so. Zayo would have liked to do all this back in October, but market conditions slowed things down a bit. Yet Zayo’s long quest to restore respect for the fiber business in public markets has been a clear success.
Meanwhile, Zayo’s other balance sheet work is going as expected. Yesterday they closed their senior notes offering of $730M in 6% senior notes due 2023. Then they promptly kicked off the redemption of the $675M in 8.125% senior notes due 2020 that they will be using that cash to refinance with.
Zayo kicked off the year with the purchase of Latisys, which should be relatively easy to integrate. With their balance sheet straightened up in March, I suspect they won’t sit still for long.
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Categories: Datacenter · Financials · Metro fiber
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that’s what I’m talking about . Go Zayo ,leading the pack. keep up the good work boys…