MTN Nigeria, a subsidiary of South Africa’s MTN Group, has signed a seven-year NgN470bn (US$3bn) loan from a consortium of 17 local banks and five foreign lenders.
The Nigerian banks include Zenith Bank, Guaranty Trust Bank, First Bank of Nigeria,…
MTN Nigeria, a subsidiary of South Africa’s MTN Group, has signed a seven-year NgN470bn (US$3bn) loan from a consortium of 17 local banks and five foreign lenders.
The Nigerian banks include Zenith Bank, Guaranty Trust Bank, First Bank of Nigeria, Access Bank and Fidelity Bank.
The foreign lenders are Rand Merchant Bank, Nedbank, Export Development Bank Canada, KfW, Industrial and Commercial Bank of China, China Development Bank and China Construction Bank.
The financing is split between US$1.8bn in additional facilities and US$1.2bn in restructured existing facilities.
Proceeds of the transaction will be used to finance MTN Nigeria’s 2013-2016 business plan, including upgrading its network infrastructure.
In late November last year, Shanduka Group acquired a US$335m minority stake in the mobile operator from three private investors.
It was not revealed what proportion of MTN Nigeria was acquired but majority shareholder MTN Group holds a 78.83% stake in the Nigerian unit.
MTN Nigeria is the largest mobile carrier in the country.
