Du enters $1.17 billion financing deals
Dubai, March 4, 2014
Emirates Integrated Telecommunications Company (du) today announced three separate financing deals amounting to $1.17 billion.
These are a combination of refinancing existing debt facilities on more favourable terms coupled with an additional $250 million of new facilities to finance future capital expenditure.
The move lowers the company's funding costs, saving approximately $9 million over the term of the loan due to the favourable margins agreed with the banks involved, said a statement.
Du chief executive officer Osman Sultan said: “We have taken the opportunity of the historical low interest rate environment to refinance some of our existing debt and have been able to negotiate very favourable terms strengthening our balance sheet further. In addition, as we continue to roll out our data offerings, we have secured additional financing for our capital expenditure programme, again at very competitive rates. The structure of this financing will save us $9 million in costs, increasing shareholder value and providing scope for future growth.” - TradeArabia News Service