Terremark Plans Private Offering Of $400M Notes

MIAMI (AP) — Terremark Worldwide Inc., which runs Internet exchanges and provides other information technology services, said Tuesday that it plans a private offering of about $400 million senior secured notes due 2017.

The company plans to use the offering's proceeds to pay off $254.2 million outstanding under its senior secured credit agreement as well as pay back $4 million on its senior subordinated convertible notes, which are due at the end of the month.

Remaining funds will be used for working capital and other general corporate purposes, such as acquisitions and capital investments to expand facilities, Terremark said.