BOSTON--(BUSINESS WIRE)--American Tower Corporation (NYSE: AMT) today announced that certain of its indirect subsidiaries priced, in a private transaction, $500.0 million aggregate principal amount of Secured Tower Revenue Securities, Series 2018-1, Subclass A. Upon issuance, the Series 2018-1A Securities will have a principal balance of $500.0 million, an interest rate of 3.652% and an expected life of approximately ten years, with a final maturity of March 2048. The Company intends to use the net proceeds of this offering to repay borrowings under its revolving credit facilities.

To satisfy the applicable risk retention requirements of Regulation RR promulgated under the Securities Exchange Act of 1934, as amended (the “Risk Retention Rules”), an affiliate of the Company intends to purchase $26.4 million aggregate principal amount of Secured Tower Revenue Securities, Series 2018-1, Subclass R (the “Series 2018-1R Securities” and, together with the Series 2018-1A Securities, the “Securities”) to retain an “eligible horizontal residual interest” (as defined in the Risk Retention Rules) in an amount equal to at least 5% of the fair value of the Securities. Upon issuance, the Series 2018-1R Securities will have an interest rate of 4.459% and an expected life of approximately ten years, with a final maturity of March 2048.

The Securities will be backed by a loan to two special-purpose subsidiaries of the Company that will be secured primarily by mortgages on their interests in 5,116 communications sites. The transaction is expected to close on March 29, 2018, subject to customary closing conditions.

About American Tower

American Tower, one of the largest global REITs, is a leading independent owner, operator and developer of multitenant communications real estate with a portfolio of over 150,000 communications sites.