Qtel close to clinching $1bn loan
Doha, January 22, 2013
Qatar Telecom (Qtel) is close to clinching a $1 billion loan facility that will help to finance its general business operations, banking sources told Reuters on Tuesday.
The deal, which will run for four years, is in the documentation stage and will be signed once all lenders have completed this process, the three sources said, speaking on condition of anonymity.
State-owned Qtel, Qatar's largest telecoms operator, has been on an acquisition drive in recent months, raising stakes in its subsidiaries as it takes advantage of the gas-rich Gulf state's healthy financial position at a time when other large telecoms companies are shying away from deals.
Everyone likes Qtel as a business, one of the sources said, adding: "And they weren't trying to raise too much cash either, so the deal proved to be very popular."
Qtel declined to comment.
More than a dozen banks have pledged to back the loan, despite its extremely low pricing. The margin is said to be below 100 basis points, two other sources said.
Reuters LPC reported in November that Qtel had approached banks about securing the facility, its first major syndicated loan since May 2010.
Qtel increased its stake in Iraqi telco Asiacell and Kuwaiti affiliate Wataniya in 2012 and bought an additional 15 percent in Tunisia's Tunisiana at the beginning of this year.
The operator is also said to be in talks to acquire Vivendi's 53 percent stake in Maroc Telecom, though it faces competition from others including the United Arab Emirates' Etisalat.-Reuters
More IT & Telecommunications Stories
- US govt to shed control of net addresses
- Etisalat sets ultimatum for SIM card registration
- Acer targets double digit growth in Saudi
- UAE mobile radiation levels below global standards
- Arpu's T-Pay gateway draws top game vendors
- SAP unveils new cloud platform
- Zain launches smartphone insurance
- Windows XP users warned on usage risks
- Tecom units welcome 181 new companies
- Ooredoo chairman joins WB gender equality council
- Mobily, Jasper start wireless M2M service
- Telecom Egypt expects mobile licence in Mar or Apr
- Sandvine wins big Etisalat follow-on order
- Aveva software for engineering plant design
- Nawras to upgrade VSat services across Oman
- Mobily, Huawei sign smart network contract
- Etisalat, Tata launch video connect service
- Talia seals new partnership with Thuraya
- 4-pillar approach for telecom operators to boost growth
- Dubai mobile emissions below global standards
- Nawras signs capacity contract with SES
- Etisalat showcases satellite solutions at Cabsat
- Batelco launches 4G LTE roaming
- Gulf Air clinches best innovation award
- Viva inks Pepsi partnership deal
- Du offers free smarphones on tablet purchase
- Batelco launches double credit promotion
- Cyber threats focus of Bahrain security talks
- Bahrain tech expo to honour innovators
- Scope ME named distributor for InfoWatch