Axtel Extends Early Deadline

Mexico’s Axtel has once again extended the early deadline of its bond exchange offer, it says, to Thursday. Axtel last week received acceptance from a majority of bondholders, satisfying a minimum acceptance condition, following an improvement to the offer’s original terms. In the offer expiring January 28, the telecom is targeting its outstanding 7.625% 2017 and 9.000% 2019 bonds. It is offering $594.61 per 1,000 principal – comprised of $500 in senior secured 2020 bonds, $44.61 in peso-denominated dollar-indexed 2020s and $50 cash, it says. Holders accepting before the early deadline receive an additional $116 per $1,000 principal. Axtel plans to issue new 2020 step-up notes, starting at 7.0%, stepping up to 8% through the first year and 9.00% after year two. Axtel is rated Caa2/CCC+/B minus.