Will Strategic Debt Refinancing Boost COMM's Share Performance?

Zacks2024-12-19

In a concerted effort to address its short-term debt obligations and improve the overall financial stability of the organization, CommScope Holding, Inc. COMM has completed a comprehensive refinancing...

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COMM has completed a comprehensive refinancing...</p>\n\n<a href=\"https://finance.yahoo.com/news/strategic-debt-refinancing-boost-comms-160200733.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Will Strategic Debt Refinancing Boost COMM's Share Performance?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nWill Strategic Debt Refinancing Boost COMM's Share Performance?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-12-19 00:02 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/strategic-debt-refinancing-boost-comms-160200733.html><strong>Zacks</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>In a concerted effort to address its short-term debt obligations and improve the overall financial stability of the organization, CommScope Holding, Inc. COMM has completed a comprehensive refinancing...</p>\n\n<a href=\"https://finance.yahoo.com/news/strategic-debt-refinancing-boost-comms-160200733.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4515","symbol_name":"5G概念","start_time":0,"source_url":"https://finance.yahoo.com/news/strategic-debt-refinancing-boost-comms-160200733.html","article_id":"2492134393","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/xO8TFJMeqtG5lE09xfpLAw--~B/aD00MDA7dz02MzU7YXBwaWQ9eXRhY2h5b24-/https://media.zenfs.com/en/zacks.com/cd9ed8cf63fa5a7bc41c5e977c67cccb"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2492134393","pubTimestamp":1734537720,"columns":[],"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"In a concerted effort to address its short-term debt obligations and improve the overall financial stability of the organization, CommScope Holding, Inc. COMM has completed a comprehensive refinancing transaction with its first lien-secured lenders. Through this initiative, CommScope has secured a new $3.15 billion first-lien term loan, which will mature in 2029, and another $1 billion as first-lien notes maturing in 2031. The new agreements have been signed with CommScope’s existing first-lien lenders, including Apollo and Monarch Alternative Capital. The proceeds from this new first-lien debt will be used for the complete repayment of unsecured notes due in 2025 and a senior secured term loan facility.Earlier in 2024, CommScope signed a definitive agreement with Amphenol Corporation, a leading global interconnect solutions provider, to divest its Outdoor Wireless Networks segment and the Distributed Antenna Systems business unit. The all-cash transaction is valued at about $2.1 billi","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4515":"5G概念","LU1992135472.HKD":"ALLIANZ GLOBAL INTELLIGENT CITIES \"AT\" (HKD) ACC","BK4588":"碎股","IDCC":"InterDigital","LU1992135399.USD":"Allianz Global Intelligent Cities AT Acc USD","COMM":"CommScope Holding Company Inc.","IE00BMPRXR70.SGD":"Neuberger Berman 5G Connectivity A Acc SGD-H","LU2272731782.SGD":"Allianz Global Intelligent Cities AM Dis H2-SGD","BK4585":"ETF&股票定投概念","IE00BMPRXN33.USD":"NEUBERGER BERMAN 5G CONNECTIVITY \"A\" (USD) ACC","BK4020":"通信设备","LU2272731600.USD":"Allianz Global Intelligent Cities AM Dis USD","BK4145":"电子制造服务","PLXS":"普雷克萨斯","KEYS":"Keysight Technologies Inc","BK4023":"应用软件","BK4157":"电子设备和仪器","IE00BD6J9T35.USD":"NEUBERGER BERMAN NEXT GENERATION MOBILITY \"A\" (USD) ACC"},"translate_title":"战略债务再融资会提振COMM的股价表现吗？","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"PLXS":1,"KEYS":1,"COMM":1,"IDCC":1},"content_text":"In a concerted effort to address its short-term debt obligations and improve the overall financial stability of the organization, CommScope Holding, Inc. COMM has completed a comprehensive refinancing transaction with its first lien-secured lenders. Through this initiative, CommScope has secured a new $3.15 billion first-lien term loan, which will mature in 2029, and another $1 billion as first-lien notes maturing in 2031. The new agreements have been signed with CommScope’s existing first-lien lenders, including Apollo and Monarch Alternative Capital. The proceeds from this new first-lien debt will be used for the complete repayment of unsecured notes due in 2025 and a senior secured term loan facility.Earlier in 2024, CommScope signed a definitive agreement with Amphenol Corporation, a leading global interconnect solutions provider, to divest its Outdoor Wireless Networks segment and the Distributed Antenna Systems business unit. The all-cash transaction is valued at about $2.1 billion and is expected to close in the first quarter of 2025. The proceeds of this divestiture are set to be utilized to fully repay the senior secured notes due in 2026 and a portion of the senior secured notes due in 2029.\nWill This Initiative Drive COMM’s Stock Price?\nAs of Sept. 30, 2024, the company had $392.1 million in cash and cash equivalents with $8 billion in long-term debt. The current portion of long-term debt stands at $1.3 billion. As of the third quarter of 2024, its debt-to-capital ratio was 155.8%. Such a high debt-to-capital ratio indicates the company’s heavy dependence on debt for capital investment, suggesting greater financial risk and potential difficulties in meeting debt obligations.\nAgainst this backdrop, the new credit agreements have immense importance for CommScope. By eliminating the overhang of near-term debt maturities, the company aims to strengthen the balance sheet and realign its capital structure as per evolving market conditions. Moreover, the improved financial flexibility will allow COMM to focus on core operations, allocate resources in product innovation to deliver greater value to customers.In the third quarter, the company’s quick ratio increased to 1.05 from 0.62 in the previous quarter, while the current ratio increased to 1.4 from 1.04 during the same period. This suggests an improvement in the company’s liquidity position and enhanced capability to meet short-term debt obligations. However, the high debt-to-capital ratio remains a concern. Persistent macroeconomic headwinds can impact COMM’s operations and undermine its ability to ensure long-term financial stability.\nCOMM’s Stock Price Movement\nShares of CommScope have gained 126.2% over the past year compared with the industry’s growth of 13.7%.\nImage Source: Zacks Investment Research\nCOMM’s Zacks Rank and Key Picks\nCommScope currently carries a Zacks Rank #5 (Strong Sell).Some better-ranked stocks in the broader industry have been discussed below.Keysight Technologies, Inc. KEYS sports a Zacks Rank of 1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.In the last reported quarter, it delivered an earnings surprise of 5.10%. Keysight is expected to benefit from the growing proliferation of electronic content in vehicles, momentum in space and satellite applications, and rising adoption of driver-assistance systems globally.InterDigital IDCC sports a Zacks Rank #1 at present. In the last reported quarter, it delivered an earnings surprise of 114.47%.It is a pioneer in advanced mobile technologies that enable wireless communications and capabilities. The company designs and develops a wide range of advanced technology solutions used in digital cellular, wireless 3G, 4G and IEEE 802-related products and networks.Plexus Corp. PLXS flaunts a Zacks Rank of 1 at present. It is a leading electronic contract manufacturing services provider to original equipment manufacturers in a wide range of industries. In the last reported quarter, PLXS delivered an earnings surprise of 20.92%.\nWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report\nPlexus Corp. (PLXS) : Free Stock Analysis Report\nInterDigital, Inc. (IDCC) : Free Stock Analysis Report\nCommScope Holding Company, Inc. (COMM) : Free Stock Analysis Report\nKeysight Technologies Inc. (KEYS) : Free Stock Analysis Report\nTo read this article on Zacks.com click here.\nZacks Investment Research","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"1","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.30.0","shortVersion":"4.30.0","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2492134393"}