Mediacom Broadband LLC and Mediacom Broadband Corp. said Tuesday that they will offer $300 million in aggregate principal amount of senior notes due 2015.
The two Mediacom Communications Corp. units said net proceeds of the offering will be used for working capital and other general corporate purposes and, until needed for a specific application, the company will apply a portion to repay all borrowings outstanding under its subsidiaries' revolving-credit facility, which are expected to total approximately $220 million on the issue date of the senior notes.
Up to $70 million of the net proceeds of the offering may be used to make loans to Mediacom LLC, another Mediacom Communications affiliate, and/or one or more of its subsidiaries. Mediacom Broadband LLC might also temporarily invest some or all of such net proceeds in short-term marketable securities, the company added.
