MetroPCS Wireless to sell $500 million in notes; will use proceeds to buy back other debt

MetroPCS Wireless to raise $500M in debt sale

DALLAS — Pre-paid wireless provider MetroPCS Wireless Inc. said Tuesday it is selling $500 million of senior notes due in 2018 and use the proceeds to buy back other debt in a move to trim its interest payments.

The company, a subsidiary of MetroPCS Communications Inc., said it will use the proceeds plus cash on hand to buy back $500 million of senior notes due 2014. The repurchase offer is set to expire on Oct. 5, but noteholders who hand in their notes by Sept. 20 will receive an extra $46.25 per each $1,000 worth of notes.

Shares of MetroPCS slipped 3 cents to $9.50 in early afternoon trading.