Leap Announces Proposed Syndication of Incremental Term Loan Facility
SAN DIEGO, Feb. 25, 2013
SAN DIEGO, Feb. 25, 2013 /PRNewswire/ -- Leap Wireless International, Inc.
(NASDAQ:LEAP) today announced that its wholly-owned subsidiary, Cricket
Communications, Inc., launched the syndication of a $1,425 million principal
amount incremental term loan facility to be issued under its existing $400
million senior secured credit facility entered into in October 2012. Leap and
Cricket expect to use the net proceeds from the incremental term loan facility
to refinance Cricket's $1,100 million in aggregate principal amount of
outstanding 7.75% Senior Secured Notes due 2016 (the "2016 Notes"), to
refinance up to $250 million in aggregate principal amount of Leap's
outstanding 4.5% Convertible Senior Notes due 2014 (the "2014 Notes"), and for
general corporate purposes. An amendment to the existing senior secured
credit facility providing for such incremental term loan facility is expected
to be completed in March 2013, subject to market and other customary
conditions. This press release is for information purposes only and is not an
offer to purchase or a solicitation of an offer to purchase with respect to
any of the 2014 Notes or the 2016 Notes.
Leap provides innovative, high-value wireless services to a young and
ethnically diverse customer base. With the value of unlimited wireless
services as the foundation of its business, Leap pioneered its Cricket
service. Cricket products and services are available nationwide through
company-owned stores, dealers, national retailers and at MyCricket.com.
Through its affordable, flat-rate service plans, Cricket offers customers a
choice of unlimited voice, text, data and mobile Web services. Headquartered
in San Diego, Calif., Leap is traded on the NASDAQ Global Select Market under
the ticker symbol "LEAP." For more information, please visit
This press release contains "forward-looking statements," including statements
regarding the proposed incremental term loan facility, the potential timing of
closing of the incremental term loan facility, the potential uses of proceeds
and the proposed refinancing of the 2014 Notes and 2016 Notes, and are
generally identified with words such as "believe," "expect," "intend," "plan,"
"could," "will," "may" and similar expressions. Such statements reflect
management's current expectations and judgment as of the date of this press
release. Risks, uncertainties and assumptions that could affect our
forward-looking statements include, among other things, market conditions, the
closing of the incremental term loan facility and refinancing of the 2014
Notes and 2016 Notes, and other factors detailed in the section entitled "Risk
Factors" included in our periodic reports filed with the SEC, including our
Annual Report on Form 10-K for the year ended December 31, 2012, filed with
the SEC on February 25, 2013.
All forward-looking statements included in this news release should be
considered in the context of these risks. We undertake no obligation to
publicly update or revise any forward-looking statements, whether as a result
of new information, future events or otherwise. Investors and prospective
investors are cautioned not to place undue reliance on our forward-looking
SOURCE Leap Wireless International, Inc.
Contact: Greg Lund, Media Relations, +1-858-882-9105, firstname.lastname@example.org;
Amy Wakeham, Investor Relations, +1-858-882-9876, email@example.com
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