DC Advisory advises Digicel International Finance Limited / Digicel Limited on their financial restructuring of $3.8 bn of debt

Background

• Founded in 2000, Digicel's LTE and fiber networks deliver state-of-the-art mobile, home and business solutions to over 10 million consumers and business customers in 25 markets in the Caribbean and Central America

Process

• DC Advisory was exclusively engaged in 2022 by Digicel to provide comprehensive liability management and financial restructuring advice to the Company and its subsidiaries
• DC Advisory worked closely with Digicel International Finance Limited / Digicel Limited (DIFL / DL), together, the operating company of Digicel, and their creditors to negotiate and secure a comprehensive restructuring
  
  • The successful conclusion of the DIFL / DL restructuring was achieved by way of a Bermuda Scheme of Arrangement which extended $2.7 billion of secured and unsecured debt issued by DIFL and equitized $1.2 bn of HY Notes issued by DL and DIFL
• DC Advisory assisted on all aspects of the transaction including negotiating and obtaining the approvals needed from DIFL / DL’s creditors

Outcome

• DIFL / DL completed their financial restructuring on 29 January 2024
  • The transaction was supported by 100% of the voting noteholders
  • This restructuring will enhance Digicel’s ability to compete and thrive in the communications, broadcasting and financial services sectors as a substantially deleveraged company with a right-sized balance sheet
• The successful outcome of this restructuring illustrates DC Advisory’s expertise and track record in both the restructuring and telecommunications sectors

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