Etisalat's Nigeria affilate has signed a $1.2 billion refinancing loan with 13 Nigerian banks, the United Arab Emirates' leading telecom operator said on Tuesday.

The medium-term facility will be used to refinance an existing $650 million loan and bolster Etisalat Nigeria's network, Etisalat said in a statement to the Abu Dhabi bourse.

Etisalat owns a 40 percent stake in its Nigeria affiliate, which is formally known as Emerging Markets Telecommunications Services Ltd (EMTS).

EMTS will acccount for 3.7 percent of Etisalat's revenue in 2013, HSBC forecasts in a research note. – Reuters