Charter Communications is rumored to be circling the bond market for a potential new issue to take out near-term maturities. The company's "B" loan remained relatively unchanged in the 941/4 95 range. Last month, Charter was pursuing a $1.7 billion proposed note sale to back a tender offer for some of its senior notes and senior discount notes, but shelved the deal after the market conditions turned, making the transaction economically unattractive (LMW, 8/25).
One trader said the company wants to complete an issue with what some believe is too low of a coupon. "When your current bonds are trading at a 14% yield, a 10% coupon is too low," he said. A Charter spokesman did not return calls.