Virgin Media O2 - comment

The repricing of the €720m 2031 TL B from E+350 to E+300 is a positive for creditors. There is some upside from a possible bid by Telefonica for the 50% of VMED that it doesn’t own, but we do not see this as a priority for Telefonica. Despite growing competition in broadband, the increasing use of streaming services underlines consumer demand for bandwidth and the long-term cash flow profile of Virgin Media.

Debtwire is reporting a repricing of the €720m 2031 Senior Secured TL B from E+350 to E+300 with an OID of 99.5 – 99.75.