Uniti Group Inc. Issues $1.14B Securitized Fiber Revenue Term Notes

What Happened
Uniti Group Inc. announced on July 15, 2026 that its bankruptcy‑remote subsidiary, Kinetic ABS Issuer LLC, completed a private offering of $1,140,710,000 aggregate principal of secured fiber network revenue term notes (the Series 2026-2 Term Notes) under an amended and restated indenture and a Series 2026-2 supplement. The Series 2026-2 issuance consists of $805,210,000 5.834% Class A-2 notes, $134,200,000 6.224% Class B notes and $201,300,000 7.536% Class C notes, with an anticipated repayment date (Term ARD) in June 2033 and legal final maturities in June 2058. Proceeds include a prefunding deposit of approximately $91,081,390 to fund certain pending Oklahoma assets subject to regulatory approval; if those approvals do not occur by July 30, 2027, the prefund will prepay the Series 2026-2 notes. This is Uniti’s second securitization issuance (following $960.1M of Series 2026-1 notes issued Jan 30, 2026), and after closing the Issuer has $2,100,810,000 of revenue term notes outstanding.

Key Details

• Total Series 2026-2 issued: $1,140,710,000 (Class A-2 $805.21M @5.834%, Class B $134.2M @6.224%, Class C $201.3M @7.536%).
• Issue price: 100%; interest payments monthly on the 25th starting Aug 25, 2026; no scheduled principal until Term ARD (June 2033) unless triggers occur.
• Prefunding: ~$91.08M held to buy pending Oklahoma assets; if not sold by July 30, 2027 (or certain events), those funds will prepay the notes.
• Security & guarantees: notes are obligations of the Issuer and related Kinetic entities, guaranteed by the asset entities, Kinetic OK and Uniti’s direct parent guarantor, and secured by equity interests and substantially all assets of the Obligors (assets are the fiber networks and related residential customer contracts).

Why It Matters
This transaction raises over $1.14 billion of secured, asset‑backed financing tied to Uniti’s fiber‑to‑the‑home assets, giving the company liquidity for general corporate purposes (including possible capex or debt repayment). The structure isolates the securitized assets and limits recourse to the securitization entities and specified guarantors, not Uniti’s other subsidiaries, which can affect how creditors view Uniti’s broader balance sheet. Investors should note the long amortization profile (no principal until the Term ARD, legal final maturity 2058), the post‑ARD interest step‑up provisions, and rapid‑amortization triggers tied to debt service coverage — all of which affect cash flow timing and credit risk for holders of these notes.