Cosmo Bulgaria Mobile (Globul), a unit of Greek telco OTE currently up for sale, has secured €153m (US$203m) under a syndicated loan agreement.
The unsecured loan has a four-year term, a margin of 5.5% per annum over Euribor and has an amortising…
Cosmo Bulgaria Mobile (Globul), a unit of Greek telco OTE currently up for sale, has secured €153m (US$203m) under a syndicated loan agreement.
The unsecured loan has a four-year term, a margin of 5.5% per annum over Euribor and has an amortising repayment schedule, OTE said in a statement. Banks have the option to increase the total loan amount to up €200m (US$265.5m) until the end of February 2013.
OTE is looking to sell Globul, retailer Germanos Telecom Bulgaria and Greek satellite unit Hellas Sat as part of comprehensive plans to cut debt that totalled €4.076bn at the end of the third quarter, down 21.4% from €5.187bn in Q3 2011.
The Greek telco has hired Citi to manage the Globul sales process. Turkish operators Turk Telekom and Turkcell disclosed late last month that they have submitted non-binding bids. Deutsche Telekom has also been named as a potential buyer, but the company has declined to comment on the matter.
During an October conference call with analysts, OTE CEO and chairman Michael Tsamaz declined to name a purchase price, saying it will be determined by the bidding process and the usual relevant factors.
Previous reports have stated OTE hopes to raise about €1bn from the sale of Globul – Bulgaria’s second largest mobile operator – and Hellas Sat.
