Ribbon Communications Inc. Announces Closing of New $385 Million Senior Secured Credit Facility

Core Viewpoint - Ribbon Communications Inc. has successfully completed a $385 million senior secured credit facility, which includes a $350 million term loan and a $35 million revolving credit facility, aimed at refinancing existing debt and redeeming Series A Preferred Stock [9]. Financial Structure - The proceeds from the term loan will be utilized to repay outstanding debt, redeem Series A Preferred Stock, and cover related fees and expenses. Any excess funds will be allocated for working capital and general corporate purposes [9]. - The loans under the 2024 Credit Facility will mature on June 21, 2029, with an initial interest rate of SOFR plus 6.25%. This rate may adjust based on the company's consolidated net leverage after the fiscal year ending December 31, 2024 [5]. Redemption of Preferred Stock - In conjunction with the closing of the 2024 Credit Facility, the company has issued a notice for the full redemption of its Series A Preferred Stock, scheduled for June 25, 2024 [6]. Strategic Partnerships - The company has expressed confidence in its financial partners, HPS Investment Partners and WhiteHorse Capital, believing they will provide strategic support and financial strength to facilitate future growth opportunities [10]. Business Overview - Ribbon Communications specializes in real-time communications technology and IP optical networking solutions, serving major service providers, enterprises, and critical infrastructure operators globally. The company focuses on modernizing networks to enhance competitive positioning and business outcomes [10]. - The company emphasizes its commitment to Environmental, Social, and Governance (ESG) matters, providing an annual Sustainability Report to stakeholders [10].