Uniti Group Inc. Completes Inaugural Kinetic Fiber Securitization Notes Offering

Uniti Group (Nasdaq: UNIT) completed an inaugural securitization offering of $960,100,000 principal secured fiber network revenue term notes with an anticipated repayment date of February 2031.

Rhea-AI Summary

Uniti Group (Nasdaq: UNIT) completed an inaugural securitization offering of $960,100,000 principal secured fiber network revenue term notes with an anticipated repayment date of February 2031. The Notes are secured by residential fiber assets and customer agreements in Arkansas, Georgia, Kentucky, Ohio and Texas. The Issuer also arranged a $150,000,000 variable funding note facility plus a liquidity funding note facility to support the transaction reserve. Uniti intends to use net proceeds for general corporate purposes, including capital expenditures and/or repayment of outstanding debt.

Positive

• Proceeds of $960.1M from inaugural fiber securitization
• Notes secured by fiber assets across 5 states
• Anticipated repayment date of Feb 2031 provides multi-year funding
• Added $150M variable funding facility for contingent liquidity

Negative

• Notes are unregistered under the Securities Act, limiting resale
• Proceeds may be used for general corporate purposes, not strictly fiber buildouts

Argus Feb 2 session

-2.64% close to close Open Argus

Details

News Market Reaction – UNIT

On Feb 2, the first trading day after this news, UNIT closed 2.64% below the previous close.

Data tracked by StockTitan Argus for the Feb 2 session.

Key Figures

Fiber term notes: $960,100,000 Anticipated repayment: February 2031 Variable funding facility: $150,000,000 +1 more

Fiber term notes

$960,100,000

Aggregate principal amount of secured fiber network revenue term notes

Anticipated repayment

February 2031

Anticipated repayment date for the securitization notes

Variable funding facility

$150,000,000

Variable funding note facility with delayed commitment availability

States securing assets

5 states

Fiber assets and customer agreements in AR, GA, KY, OH and TX

Previous Offering Reports

5 past events · Latest: Jan 21

Same Type 5 events

1. Jan 21

   Senior notes pricing

   24h Move

   -0.8%

   Upsized $1.0B 8.625% senior notes due 2032 for refinancing and corporate uses.

2. Jan 15

   Fiber ABS pricing

   24h Move

   +0.1%

   Pricing of $960.1M secured fiber term notes with multi-class structure and 2031 ARD.

3. Jan 08

   Fiber ABS launch

   24h Move

   -1.5%

   Launch of $960.1M secured fiber term notes and related funding facilities.

4. Oct 09

   Fiber ABS pricing

   24h Move

   -1.5%

   Pricing of $250M secured fiber securitization backed by multi-state fiber assets.

5. Oct 06

   Fiber ABS launch

   24h Move

   +4.6%

   Launch of $250M fiber term notes and $75M variable funding facility for general uses.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

securitization, bankruptcy remote, indentures, variable funding note facility, +1 more

5 terms

securitization financial

"completed an inaugural offering of $960,100,000 aggregate principal amount of secured fiber network revenue term notes"

Securitization is when a bank or company takes a bunch of loans or assets, like mortgages or car loans, and bundles them together into a single package. They then sell pieces of this package to investors, who receive regular payments from the borrowers. This process helps the original lender get money quickly and spreads the risk among many investors.

bankruptcy remote financial

"Kinetic ABS Issuer LLC, a limited-purpose, bankruptcy remote subsidiary of Uniti"

A “bankruptcy remote” structure is a legal setup that keeps certain assets or a subsidiary separate so they are unlikely to be dragged into a parent company’s bankruptcy. Think of it like placing valuables in a locked safe apart from the main house: if the house faces trouble, those assets are intended to stay protected, which matters to investors because it reduces the chance of losing value or cash flows tied to those isolated assets.

indentures financial

"under Uniti’s credit agreement and the indentures governing Uniti’s outstanding senior notes"

Indentures are the written contracts that set out the terms and protections for a debt issue, such as a bond or note, including payment schedule, interest rate, collateral, and what happens if the borrower misses payments. Think of it like the rulebook and safety features for a loan that both the borrower and lenders agree to; investors use it to assess their rights, recoveries in trouble, and limits on the issuer’s future actions.

variable funding note facility financial

"has entered into a $150,000,000 variable funding note facility with a delayed commitment"

A variable funding note facility is a revolving short-term borrowing arrangement that lets a company issue and repay short-term promissory notes on demand, often supported by a committed lender or a pool of liquid assets. For investors, it is like the company’s credit card: it smooths cash flow and funds operations or maturing debt but creates rollover and liquidity risk if market access or the backstop disappears, and costs can rise quickly when credit conditions tighten.

liquidity reserve financial

"liquidity funding note facility, which may be drawn solely to support the transaction’s liquidity reserve"

Cash or assets that a company or fund keeps on hand that can be quickly turned into cash to pay bills, cover unexpected costs, or take advantage of opportunities. Think of it as a business’s emergency fund: it reduces the risk of running short of money, helps meet investor redemptions or debt payments, and signals financial stability—important signals for investors judging short-term safety and solvency.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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LITTLE ROCK, Ark., Jan. 30, 2026 (GLOBE NEWSWIRE) -- Uniti Group Inc. (the “Company,” “Uniti,” or “we”) (Nasdaq: UNIT) today announced that Kinetic ABS Issuer LLC, a limited-purpose, bankruptcy remote subsidiary of Uniti (the “Issuer”), has completed an inaugural offering of $960,100,000 aggregate principal amount of secured fiber network revenue term notes (the “Notes”). The Notes have an anticipated repayment date in February 2031. The Notes are secured by certain residential fiber network assets and related customer agreements in the States of Arkansas, Georgia, Kentucky, Ohio and Texas. Each of the Issuer and its direct parent entity and subsidiaries are designated as “unrestricted subsidiaries” under Uniti’s credit agreement and the indentures governing Uniti’s outstanding senior notes.

In connection with the offering of the Notes, the Issuer has entered into a $150,000,000 variable funding note facility with a delayed commitment availability feature, subject to the satisfaction of leverage tests and other customary availability/drawing conditions. The Issuer has also entered into a liquidity funding note facility, which may be drawn solely to support the transaction’s liquidity reserve and to cover specified payment shortfalls. The variable funding notes and the liquidity funding notes are governed by the same indenture that governs the Notes.

Uniti intends to use the net proceeds of the offering of the Notes for general corporate purposes, which may include success-based capital expenditures and/or repayment of outstanding debt.

The Notes are not, and will not be, registered under the Securities Act of 1933, as amended (the “Securities Act”), or any state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from registration under the Securities Act or any applicable state securities laws.

“We are beyond thrilled to have completed our inaugural fiber-to-the-home securitization, a transaction that saw unprecedented levels of demand from investors for its kind. This transaction, combined with our prior securitization offerings at Uniti Fiber, provides capital to help fund our fiber buildouts and strengthen our balance sheet at a very attractive cost,” commented Paul Bullington, Senior Executive Vice President, Chief Financial Officer & Treasurer.

This press release does not constitute an offer to sell, or a solicitation of an offer to buy, nor shall there be any sale of the Notes in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

ABOUT UNITI

Uniti is a premier insurgent fiber provider dedicated to enabling mission-critical connectivity across the United States. We build, operate, and deliver fast and reliable communications services, empowering more than a million consumers and businesses in the digital economy. Our broad portfolio of services is offered through a suite of brands: Uniti Wholesale, Kinetic, Uniti Fiber, and Uniti Solutions.

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on assumptions with respect to the future and management’s current expectations, involve certain risks and uncertainties, and are not guarantees. These forward-looking statements include, but are not limited to, statements regarding the use and impact of proceeds from the issuance of the Notes. The words “anticipates,” “believes,” “could,” “estimates,” “expects,” “intends,” “may,” “plans,” “projects,” “will,” “would,” “predicts” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. The Company may not actually achieve the plans, intentions or expectations disclosed in its forward-looking statements, and you should not place undue reliance on the forward-looking statements. Future results may differ materially from the plans, intentions and expectations disclosed in the forward-looking statements that the Company makes. These forward-looking statements involve risks and uncertainties, known and unknown, that could cause events and results to differ materially from those in the forward-looking statements, including, without limitation: the levels of demand for our residential fiber network services within the markets related to the Notes, general market conditions within such markets, our ability to maintain and grow our residential fiber network services within these markets, unanticipated difficulties or expenditures relating to the merger of Uniti and Windstream; competition and overbuilding in consumer service areas and general competition in business markets; risks related to Uniti’s indebtedness, which could reduce funds available for business purposes and operational flexibility; rapid changes in technology, which could affect its ability to compete; risks relating to information technology system failures, network disruptions, and failure to protect, loss of, or unauthorized access to, or release of, data; risks related to various forms of regulation from the Federal Communications Commission, state regulatory commissions and other government entities and effects of unfavorable legal proceedings, government investigations, and complex and changing laws; risks inherent in the communications industry and associated with general economic conditions; and additional risks set forth in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of Uniti and its predecessor’s most recently filed periodic reports on Form 10-K and Form 10-Q and subsequent filings with the U.S. Securities and Exchange Commission as well as Uniti’s predecessor’s registration statement on Form S-4 dated February 12, 2025. The discussion of such risks is not an indication that any such risks have occurred at the time of this filing. The Company does not assume any obligation to update any forward-looking statements. Uniti expressly disclaims any obligation to release publicly any updates or revisions to any of the forward-looking statements set forth in this press release to reflect any change in its expectations or any change in events, conditions or circumstances on which any such statement is based.

INVESTOR CONTACTS:

Paul Bullington, 251-662-1512
Senior Executive Vice President, Chief Financial Officer & Treasurer
paul.bullington@uniti.com

Bill DiTullio, 501-850-0872
Senior Vice President, Investor Relations & Treasury
bill.ditullio@uniti.com

MEDIA CONTACTS:

Scott L. Morris
Associate Director, Media & External Communications
501-580-4759
scott.l.morris@uniti.com

Brandi Stafford
Vice President, Corporate Communications
501-351-0067
brandi.stafford@uniti.com

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FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What did Uniti (UNIT) announce about the $960,100,000 notes offering on January 30, 2026?

Uniti completed an inaugural offering of $960,100,000 secured fiber revenue term notes with anticipated repayment in February 2031. According to the company, the Notes are backed by residential fiber assets and customer agreements in five states.

Which assets secure Uniti's (UNIT) inaugural fiber securitization notes?

The Notes are secured by certain residential fiber network assets and related customer agreements in Arkansas, Georgia, Kentucky, Ohio and Texas. According to the company, those state-specific assets provide the collateral for the term notes.

What additional liquidity facilities accompanied Uniti's (UNIT) January 2026 securitization?

The Issuer entered a $150,000,000 variable funding note facility plus a liquidity funding note facility to support the transaction reserve. According to the company, draws are subject to leverage tests and customary availability conditions.

How does Uniti (UNIT) plan to use net proceeds from the Notes offering?

Uniti intends to use net proceeds for general corporate purposes, which may include success-based capital expenditures and repayment of outstanding debt. According to the company, the funds will also support fiber buildouts and balance sheet strength.

When will Uniti's (UNIT) securitization notes be repaid and what is the term length?

The Notes have an anticipated repayment date in February 2031, implying roughly a five-year term from issuance. According to the company, that timeline aligns funding with ongoing fiber buildout schedules and cash flow planning.

Are Uniti's (UNIT) securitization notes registered for public resale in the U.S.?

No, the Notes are not registered under the Securities Act and may not be offered or sold in the U.S. without registration or an applicable exemption. According to the company, resale is restricted absent compliance with securities laws.