Russian operator VimpelCom is working on putting together a US$4bn bridge loan to be refinanced in the bond market to support the acquisition of Weather Investments, Dow Jones reports quoting people familiar with the situation.
Last month, VimpelCom…
Russian operator VimpelCom is working on putting together a US$4bn bridge loan to be refinanced in the bond market to support the acquisition of Weather Investments, Dow Jones reports quoting people familiar with the situation.
Last month, VimpelCom announced its intention to merge with Weather Investments, the investment vehicle of Egyptian businessman Naguib Sawiris, to create the fifth largest mobile operator in the world by number of subscribers. The transaction involves a 51.7% stake in Orascom Telecom and 100% of Wind, Italy’s third mobile operator. In theory, Telecom Orascom Algeria, which operates Djezzy, is also part of the agreement, but the Algerian authorities appear determined to nationalise this asset. The Algerian unit generates about 50% of Orascom’s revenues.
VimpelCom is advised by UBS, Deutsche Bank and Akin Gump Strauss Hauer & Feld, while Weather is advised by Lazard, EFG-Hermes, Credit Suisse and Cleary Gottlieb Steen & Hamilton. Citigroup provided a fairness opinion to the supervisory board of VimpelCom.
