French vendor Alcatel-Lucent said one of its affiliates has repaid early and in full a US$1.75bn senior secured credit facility inked in January 2013.
The loan was repaid using the proceeds from an offering of bonds convertible for new or existing…
French vendor Alcatel-Lucent said one of its affiliates has repaid early and in full a US$1.75bn senior secured credit facility inked in January 2013.
The loan was repaid using the proceeds from an offering of bonds convertible for new or existing shares, maturing in 2019 and 2020, and available cash.
The group said the early repayment is part of its turnaround strategy, first announced in June last year.
“Through the measures we have taken to strengthen our balance sheet, we have also been able to regain control of our own destiny, in particular, the release of intellectual property, giving us now the freedom and flexibility to leverage these assets as and how we see beneficial for Alcatel-Lucent’s future,” CEO Michel Combes commented.
The facility was secured by patents and other intellectual property rights of Alcatel-Lucent USA. The company said the pledges will now be cancelled and released.
Under its turnaround strategy, Alcatel is aiming to raise €1bn in asset sales by the end of 2015, slash fixed costs by €1bn and cut debt.
A few weeks ago, the vendor revealed it was considering launching an IPO for part of its submarine cables unit in the first half of 2015.
