DirecTV Unit Closes $3B Bond Offer


DirecTV Holdings, an indirect subsidiary of DirecTV, said Tuesday that it has completed a $3 billion offering of senior notes that could be used for general corporate purposes, including funding a planned share repurchase program at the satellite TV giant.
DirecTV Holdings said it closed the registered offering of $750 million of 3.125% Senior Notes due 2016, $1 billion of 4.6% Senior Notes due 2021 and $1.25 billion of 6% Senior Notes due 2040 on Aug. 17.
In a statement, DirecTV said that proceeds from the offering could be used to repay some of all of the outstanding borrowings under the Term Loan A and Term Loan B portions of its senior secured credit facility, a distribution to its parent DirecTV for its share repurchase plan and other corporate purposes.
Back on Aug. 5 in concert with releasing its second quarter financial results, DirecTV said its board of directors had authorized an additional $2 billion in stock repurchases after buying $1.72 billion of its own shares in the second quarter. So far this year the satellite giant has repurchased about $2.2 billion of its shares.
DirecTV stock was priced at $39.07, up 53 cents each (1.4%) in early trading Tuesday.