Chinese state-owned Citic Telecom has issued US$450m notes to finance its US$1.16bn acquisition of Macanese operator CTM.
The new bonds mature on 5 March 2025 and carry a coupon of 6.1%, the telco announced to the Hong Kong stock exchange.
Citic…
Chinese state-owned Citic Telecom has issued US$450m notes to finance its US$1.16bn acquisition of Macanese operator CTM.
The new bonds mature on 5 March 2025 and carry a coupon of 6.1%, the telco announced to the Hong Kong stock exchange.
Citic Securities Corporate Finance, Deutsche Bank, Standard Chartered Bank and UBS have been appointed joint bookrunners and joint lead managers for the issue. They are also the initial purchasers of the bonds.
As TelecomFinance previously reported, Citic currently holds 20% of CTM, but agreed to increase that to 99% last month, striking deals with CWC and Portugal Telecom to buy their stakes.
The telco also said it had commitment letters from banks and financial institutions, including an affiliate of one of the bookrunners, to provide the loan facilities for the acquisition.
Barclays is Citic’s lead financial adviser on the acquisition of the CTM stakes, with Citic Securities Corporate Finance also advising on finance.
CWC shareholders approve CTM sale
CWC’s shareholders approved the sale of a 51% stake in CTM at a general meeting today.
Completion of the deal is expected to take place between July and October, the telco group announced, dependant upon regulatory approvals.
99.93% of shareholders voted for the disposal of the asset.
