Business | Telecoms
etisalat holds talks to extend $3b loan
etisalat is in talks with the lenders that provided its debut $3 billion syndicated loan in 2006, as it wants to roll the deal over for one year, a banking source said.
- Reuters
- Published: 00:39 April 12, 2008
London: etisalat is in talks with the lenders that provided its debut $3 billion syndicated loan in 2006, as it wants to roll the deal over for one year, a banking source said.
Discussions are at an early stage, the banker added.
The original 364-day revolving credit, signed in July 2006, included a one-year extension option and paid a margin of 22.5 basis points (bps) over the London interbank offered rate (Libor), rising to 25 bps for the second year.
The banker added that given the current market conditions, lenders will be looking at doubling the margin for the one-year rollover to around 50 bps.
etisalat used proceeds on the existing loan to help fund its expansion plans.
The joint underwriters and bookrunners were Barclays, which co-ordinated the deal, and Citigroup, Deutsche Bank and HSBC.
More from Telecoms
More from Business
Business Editor's choice
-
Do unemployment figures flatter to deceive?
Jobseekers and recruiters give out mixed signals ranging from optimism to downright despair even as official data show recovery
-
Banks can increase their share
Longer opening hours, more locations outside cities and lower charges can help
-
Geepas idea blossomed in Dubai
The journey led from a small shop in Bahrain to a $1.27b company in the UAE
