Virgin Media has announced the pricing of its senior secured notes offer put forward on Monday that totals just short of €1.7 billion. The package is being split into a $1 billion (€690m) US denominated tranche through Virgin Media Inc and a second £875 million (€982m) sterling denominated tranche through subsidiary Virgin Media Secured Finance PLC. The move follows Virgin Media’s entry onto the London Stock Exchange last year.
The dollar denominated notes will carry an interest rate of 6.5% per annum with the sterling notes slightly higher at 7%. Both rates reflect a significant reduction on the 9.5% rate achieved by Virgin for a senior note issue on May 2009, but later negotiated down to a lesser rate.