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TOTAL PLAY ANNOUNCES EXCHANGE OFFER AND CONSENT SOLICITATION TO THE HOLDERS OF THE REMAINING US$361.5 MILLION OF ITS SENIOR NOTES DUE 2025

  • —Total Play punctually fulfills its commitment to extend to all holders of the Senior Notes due 2025 the option to participate in an exchange with similar conditions to the private exchange—

Mexico City, March 22, 2024— Total Play Telecomunicaciones, S.A.P.I. de C.V. (“Total Play”), a leading telecommunications company in Mexico, which offers internet access, pay television and telephony services, through one of the largest 100% fiber optic networks in the country, announced today the launch of an exchange offer and consent solicitation to the holders of the remaining US$361.5 million of its US$575 million Senior Notes due 2025 to exchange them for senior secured notes due 2028 (the “New Notes”).  As previously informed, a successful private exchange agreement was reached on February 21, 2024, with a group of investors for US$213.5 million of such senior notes due 2025 (the “Private Exchange”).

The exchange offer and consent solicitation of the New Notes announced today, proposes to exchange at par, to earmark accounts receivable from the master trust and transfer the flows and payments of such accounts to a payment source trust, bear an annual interest rate of 10.5%, and have an increasing amortization schedule of 20% in 2026, 30% in 2027, and 50% in 2028, respectively — the same conditions that were offered in the Private Exchange on February 21. 

In addition, the New Notes will be listed and registered on the Singapore Exchange (SGX), enabling the freedom to perform trading operations. Furthermore, the proposed issuance enhances the guarantee of coupon payments through the creation of a reserve account, additional to the one established in the source of payment trust that covers the entire payment of any subsequent coupon, after the completion of the preceding payment.

The exchange offer and consent solicitation endorse Total Play’s firm determination to broaden its maturity profile and boost its liquidity to further strengthen its capital structure for the benefit of all its stakeholders. Through this process, Total Play refutes any speculation about its capabilities to access debt markets efficiently and without leveraging fixed assets, which categorically reinforces confidence in the company.

The terms and conditions of the exchange offer are available in the Exchange Offer and Consent Solicitation Memorandum, dated March 22, 2024.