Zayo Group Holdings, Inc. (NYSE: ZAYO) subsidiary Zayo Group, LLC has completed the offering of a new USD 400 million term loan tranche under its existing credit agreement, the company said.
The net proceeds were primarily used to finance the previously announced acquisition of Allstream Inc.
The USD 400 million new term loan tranche will bear interest at a rate of LIBOR plus 3.50 percent, with a minimum LIBOR rate of 1.00 percent. No other terms of the credit agreement were amended.
Morgan Stanley Senior Funding, Inc. served as the sole lead arranger on the offering.
Zayo Group Holdings provides communications infrastructure services, including fiber and bandwidth connectivity, colocation and cloud services to the world´s leading businesses.