Lumen Technologies announced the successful completion of a refinancing transaction at its subsidiary, Level 3 Financing, Inc. This move provides Lumen with greater financial flexibility and stability to fund its ongoing transformation.
All of Level 3's existing term loans under its Credit Agreement were replaced with a new $2.4 billion term loan, which now matures in 2032. This refinancing extends maturities by 30 months on a blended basis, significantly improving the company's debt profile.
The new term loan is priced at Term SOFR + 4.25%, resulting in an interest rate reduction of 231 basis points and annual interest savings of over $55 million. This action strengthens Lumen's balance sheet and frees up capital to invest in its long-term growth initiatives, particularly in AI infrastructure.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.