The proceeds will be used to reduce debt and provide additional financial flexibility. Com Hem aims to reduce its net debt to 4.15 times adjusted EBITDA by mid-2014. This will be achieved through refinancing its senior credit facilities, full redemption of the senior PIK notes and a redemption of up to 35 percent of its 2019 senior Notes. In the medium term, the company will target leverage of 3.5-4.0x net debt to underlying EBITDA.
Com Hem is the largest cable operator in Sweden with approximately 1.83 million or 39 percent of Swedish homes connected. It claims second place on the country's broadband market and offers download speeds of up 500 Mbps across almost all its network. Since late 2013, it also offers the Tivo box to customers, and recently it acquired the B2B operator Phonera Foretag.
