Digicel Considers Refinancing Over $2 Billion Debt Amid Improved Performance and DOJ Probe Drop

Digicel Group is working with JPMorgan Chase on a potential deal to refinance over $2 billion of its debt. The move comes as the company told creditors that the US Department of Justice dropped a probe into potential Foreign Corrupt Practices Act violations. Plans for the deal have not been finalized, and a deal may not materialize.

Digicel Group is exploring a potential debt refinancing deal with JPMorgan Chase & Co., aiming to restructure over $2 billion of its debt. The discussions, which could be finalized in the coming weeks, come as the company has informed creditors that the US Department of Justice has dropped its probe into potential violations of the Foreign Corrupt Practices Act (FCPA) [1].

The firm, founded by Irish tycoon Denis O’Brien, was taken over by creditors in 2023 following a debt for equity swap. Digicel has about $2.3 billion in secured debt, including a bond and a term loan due in May 2027, and $455 million in unsecured bonds due in November 2028 [1].

The company's recent improved performance and management changes have led to a more positive outlook. In June, S&P Global Ratings and Fitch Ratings assigned Digicel a B credit rating, reflecting the company's forecasted reduction in leverage and ample liquidity headroom [1]. Moody's Ratings also rated Digicel B3, indicating a cautious approach to debt financing and capital expenditure.

While the deal with JPMorgan Chase is still under discussion and may not materialize, it is a significant move for Digicel as it seeks to stabilize its financial position. The company has been working to address its debt issues and improve its financial health, which could be boosted by the refinancing deal.

References:

[1] https://www.bloomberg.com/news/articles/2025-07-11/digicel-eyes-refinancing-over-2-billion-debt-as-concerns-abate
[2] https://www.marketbeat.com/instant-alerts/filing-gf-fund-management-co-ltd-increases-stock-position-in-jpmorgan-chase-co-nysejpm-2025-07-11/