Zayo Prepares to Issue $1.4 Billion Of Asset-Backed Securities

Fiber network firm Zayo Group Holdings Inc.is preparing to sell$1.4 billion of bonds secured by its fiber-network infrastructure and customer contracts, according to a person familiar with the matter.

The firm’s planned offering of asset-backed securities consists of three bonds, including a $1 billion portion rated A- and a $231 million portion rated BB-, according to the person, who asked not to be identified. The collateral includes fiber network infrastructure and associated contracts with annualized recurring revenue of about $309 million, the person said.

Banks leading the deal include Barclays, Deutsche Bank, Goldman Sachs Group Inc. ...