ONO targeting EUR460 million from bond sale?

21 Jan 2011

Spanish cableco Grupo Corporativo ONO aims to raise EUR460 million (USD621 million) from the sale of high-yield bonds in both dollars and euros, according to Bloomberg, which cities two unnamed people with knowledge of the sale. It is understood that the eight and half year notes, which will be issued through ONO Finance II Plc, will refinance the operator’s existing debt, with Deutsche Bank and Bank of America Corp expected to manage the sale.

According to TeleGeography’s GlobalComms Database, ONO is the only significant provider of cable-based broadband services in Spain, and has sought to keep up with fixed line incumbent Telefonica by investing heavily in its own networks and by buying out its nearest rivals in the cable sector, most notably Auna Telecomunicaciones in November 2005; the acquisition near-doubled ONO’s customer base, and elevated the merged entity to the position of number two broadband provider by subscribers, a position it retains to this day.

Spain, Grupo Corporativo ONO