T-MOBILE US, INC. (NASDAQ:TMUSP) Files An 8-K Entry into a Material Definitive AgreementItem 1.01 – Entry into a Material Definitive Agreement
On July25, 2017, T-Mobile USA, Inc. (“TMUSA”), a wholly-owned subsidiary of T-Mobile US, Inc. (the “Company”), amended the terms of its $2billion secured term loan due January 2024 (the “2024 Term Loan”) from Deutsche Telekom AG (“DT”), its majority stockholder, to lower the applicable margin payable on LIBOR indexed loans thereunder from 2.25% to 2.00%. The reduction of the applicable margin on the 2024 Term Loan is expected to result in an aggregate yearly interest savings of $5million over the remaining life of the 2024 Term Loan.
TMUSA was not required to pay any amendment fees or other consideration to DT in connection with the repricing of the 2024 Term Loan.
The repricing of the 2024 Term Loan was provided under Amendment No.4, dated as of July25, 2017 (“Amendment No.4”), to that certain Term Loan Credit Agreement, dated as of November9, 2015 (as amended, the “Term Loan Facility”) among the Company, TMUSA, Deutsche Bank AG, New York Branch, as administrative agent and collateral agent, and DT, as the lender.
Amendment No.4 also modifies the 2024 Term Loan to include a soft-call prepayment premium of 1.00% of the outstanding principal amount of the 2024 Term Loan payable to DT upon certain refinancings of such loan by TMUSA with lower priced debt prior to a date that is six months after July25, 2017. No other material terms of the 2024 Term Loan or the Term Loan Facility were modified.
DT is the Company’s majority stockholder and a holder of a portion of TMUSA’s outstanding debt, as further described in the Company’s periodic reports filed with the Securities and Exchange Commission.
Amendment No.4 is incorporated herein by reference as an exhibit to this current report on Form 8-K. The foregoing summary of Amendment No.4 is qualified in its entirety by reference to such exhibit.
Item 1.01 – Financial Statements and Exhibits
(d) Exhibits:
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Exhibit No. |
Exhibit Description |
| 10.1 | Amendment No.4, dated as of July25, 2017, to the Term Loan Credit Agreement, dated as of November9, 2015, as amended. |
T-Mobile US, Inc. ExhibitEX-10.1 2 d429409dex101.htm EX-10.1 EX-10.1 Exhibit 10.1 AMENDMENT NO. 4,…To view the full exhibit click here
