Crown Castle International Corp. announced that it plans to offer up to $1.9 billion of series 2005-1 cellular tower-backed notes via a yet-to-be disclosed underwriter. Proceeds for the notes will go to refinance $1.4 billion of outstanding high-yield debt ranging in coupons from 7.50% to 11.25%. The cellular communications firm, rated B3 by Moody's Investors Service and CCC+ by Standard & Poor's, expects to issue investment grade rated securities to pay down the outstanding debt at the 50 basis points over Treasurys tender offer plus $40 early concent payment. While Crown Castle has retained Morgan Stanley to act as agent for the tender offers, it has not named a lead manager for its securitization.

"The offering is being structured as an issuance of debt securities, the servicing and repayment of which is expected to be made solely from the cash flow from the operation of the U.S. towers that are part of the transaction," the company said in a release.

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