Internet service provider, PSINet Inc, said yesterday it had secured $750m from the sale of junk bonds to bankroll the purchase of additional telecommunications bandwidth and related facilities, the construction of Internet data centers and acquisitions.
The Herndon, Virginia-based company, which raised $1.2bn in the junk bond market just four months ago, sold seven-year dollar and euro-denominated senior notes. The notes carry a 10.5% interest rate. PSINet, which has about 60,000 business customers in the US, Canada, Latin America, Europe and Asia, plans to sink $1.4bn of capital into expanding its optical fiber lines over the next three years.
