MetroPCS Wireless seeks consents to amend 7 7/8%, 6 5/8% notes

By Susanna Moon

Chicago, Dec. 5 - MetroPCS Communications, Inc. said its indirect wholly owned subsidiary MetroPCS Wireless, Inc. began a consent solicitation to amend its 7 7/8% senior notes due 2018 and its 6 5/8% senior notes due 2020.

For each series of notes, the company will pay a total consent fee of $5 million in cash to consenting holders on a pro rata basis upon the effectiveness of a revised supplemental indenture amending the notes, according to a company press release.

The consent solicitation will end at 5 p.m. ET on Dec. 14.

The solicitation is in connection with the proposed merger with Deutsche Telekom AG, T-Mobile Global Zwischenholding GmbH, T-Mobile Global Holding GmbH and T-Mobile USA, Inc.

The company is proposing to modify the definition of a "change of control" in each note series so that completion of the merger would not be considered a change of control, the release noted.

The amendments also would conform covenants, events of default and other non-economic terms to those that are expected to be sold by T-Mobile to Deutsche Telekom and to new notes that may be issued by the company and assumed by T-Mobile after the merger.

The company said in the release that it plans to enter into revised supplemental indentures amending the notes "promptly" after receiving the needed consents.

The execution of the revised supplemental indentures and payment of the consent fee is conditioned on obtaining consents from holders of at least a majority of both series of outstanding notes.

MacKenzie Partners, Inc. (800 322-2885) is the information and tabulation agent. J.P. Morgan Securities LLC (212 270-0733) is the solicitation agent.

Dallas-based MetroPCS is a wireless communications service provider.

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