Digicel May Seek to Refinance $1.3 Billion of Debt at a Discount

Businessman Denis O’Brien’s Digicel may seek to refinance at a discounted price some $1.3 billion (€1.2 billion) of bond debt due to be repaid in early 2021, to take advantage of the fact that they are trading at a discount in the market, according to US debt research firm Xtract Research. However, such a move would be considered by debt ratings agencies as a more aggressive distressed debt manoeuvre than the one completed by Digicel earlier this year, The Irish Times reported. That involved persuading creditors holding $3 billion of bonds due in 2020 and 2022 to postpone getting their money back by a further two years by exchanging their notes for longer-dated paper. Read more

Location