In Brief
- Major Refinancing: Telecommunications Services of Trinidad and Tobago (TSTT) has raised approximately US$481 million equivalent across international and domestic capital markets.
- Debt Extended to 2036: The dual-currency deal—comprising US$305 million and TT$1.192 billion in senior secured notes due in 2036—was used to pay off existing debt that was set to mature in 2029.
- Strong Investor Appetite: TSTT is the first local corporate issuer to tap the international US dollar market in 15 months, attracting more than 85 local and global institutional investors at improved interest spreads.
Telecommunications Services of Trinidad and Tobago Limited (TSTT) has raised approximately US$481 million equivalent in long-term secured financing across international and domestic capital markets, extending its debt maturity profile to 2036.
In a statement on Friday, the telecommunications provider announced the completion of the dual-currency refinancing transaction, which was priced on 27 October. The deal marks the first time in 15 months that a Trinidad and Tobago corporate issuer has accessed the international US dollar capital markets.
The financing package comprises US$305 million in senior secured notes and TT$1.192 billion (approximately US$176 million) in domestic senior secured notes, both due in 2036.
TSTT said the proceeds were used primarily to redeem in full its outstanding US dollar and Trinidad and Tobago dollar senior secured notes that were due in 2029.
TSTT Chairman Kern Dass welcomed the market’s response to the offering, describing it as an endorsement of the company’s long-term strategic direction.
“The confidence shown by investors is an endorsement of TSTT’s progress and long-term strategic direction,” Dass said. “The Board remains committed to responsible stewardship and to maintaining the financial discipline needed to sustain a profitable, resilient company that contributes to Trinidad and Tobago’s development.”
Acting Chief Executive Officer Reza Hosein said extending the company’s debt repayment schedule provides greater flexibility to meet financial obligations while continuing to invest in local infrastructure.
“This successful refinancing reflects the work our team has done to strengthen TSTT’s financial and operational performance,” Hosein said. “Our focus remains on sustaining profitability and delivering the connectivity that people and businesses across Trinidad and Tobago depend on.”
The offering followed a four-day global roadshow during which TSTT executives met with more than 70 emerging-market investors across the United States, Europe, and Latin America, alongside a month-long local pre-marketing exercise. The final orderbooks attracted participation from more than 40 international institutional accounts and over 45 domestic investors.
According to the company, the transaction achieved an interest spread compression of 190 basis points on the US dollar tranche and 150 basis points on the local currency tranche relative to sovereign benchmarks, compared with its inaugural bond issuance in 2019. TSTT attributed the improved terms to operational gains and a stronger credit standing, following an S&P Global Ratings upgrade from B+ to BB- in 2023.
Citi and Scotiabank served as joint bookrunners for the US dollar notes and lead managers for the local currency notes, while ACERO Capital acted as financial adviser to TSTT.
Adrian Guzzoni, Head of Latin America Debt Capital Markets at Citi, said: “Despite a volatile market backdrop, the transaction attracted support from both international and domestic investors. We are pleased to have supported TSTT in achieving its refinancing objectives and extending its debt maturity profile.”
Dennis Eisele, Managing Director and Head of Latin America Fixed Income Origination at Scotiabank, added that the landmark deal demonstrated strong investor confidence in the utility provider and highlighted its ability to access both global and local capital markets.
