US-owned NTL – the biggest cable operator in Britain – has confirmed it will raise its planned rights issue to around $1.4 billion (€1.2bn; £0.8bn).
Originally set at $1.05bn, the rights issue has been increased following a surge in NTL's share price [WAMN: 21-Oct-03].
For a week from November 10, the company will offer existing stockholders new shares at $40 each – a discount of over 30% on their current value.
NTL will use the cash raised to clear a $500 million loan and a $675m capital facility. If all 35.75m shares on offer are issued, the group will be left with $5.3bn in long-term debt and greater flexibility should it decide to merge with Telewest, its main cable rival in the UK.
Data sourced from: Financial Times; additional content by WARC staff