American Tower Corporation priced a senior unsecured notes offering due 2032 on December 2, 2025, raising $850 million in principal at a coupon of 4.700% per annum. The notes were priced at 99.685% of face value, yielding net proceeds of roughly $839.5 million after underwriting discounts and fees.
The company will use the proceeds to repay existing indebtedness under its $4.0 billion senior unsecured revolving credit facility, thereby reducing overall debt levels and improving balance‑sheet leverage. At the end of Q3 2025, American Tower’s Net Leverage Ratio stood at 4.9×; the repayment is expected to lower that figure and bring the company closer to its target range of 4.5–5.0×, strengthening its capital structure for future growth.
The decision to refinance the revolving credit facility reflects a broader debt‑management strategy aimed at lowering interest costs and extending maturity profiles. The company has issued senior notes on several occasions—$1.2 billion in November 2024 and €500 million (≈$567 million) in May 2025—demonstrating a consistent approach to maintaining liquidity while optimizing debt terms.
The 4.700% coupon aligns with the prevailing investment‑grade corporate bond market, where rates have been rising but remain attractive for issuers with strong credit profiles. Pricing the notes below par at 99.685% indicates healthy demand and a modest yield premium for investors, underscoring American Tower’s continued access to capital markets at favorable rates.
American Tower’s Q3 2025 earnings showed revenue of $2.717 billion, up 7.7% year‑over‑year, and net income of $913 million, a 216.9% increase. The robust earnings performance, coupled with the new debt issuance, signals strong operational execution and confidence in the company’s ability to service debt while pursuing growth in data‑center and 5G infrastructure.
The senior notes offering positions American Tower to further strengthen its balance sheet, reduce interest expense, and maintain flexibility to invest in high‑growth opportunities. By extending debt maturities and lowering leverage, the company is better positioned to navigate the evolving interest‑rate environment and support its long‑term capital‑allocation strategy.
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