Portuguese quad-play operator Nos has issued two new commercial papers and a bond worth a total value of €150m, the company said in a securities filing.
The telco secured a €50m commercial paper programme due May 2020 from Banco Popular, and a…
Portuguese quad-play operator Nos has issued two new commercial papers and a bond worth a total value of €150m, the company said in a securities filing.
The telco secured a €50m commercial paper programme due May 2020 from Banco Popular, and a €50m commercial paper line due June 2020 from BBVA.
The company also issued €50m worth of “Nos 2015-2019” bonds with a 1.260% fixed-rate interest, corresponding to a 95 bps spread plus the swap rate. The first coupon is due in September. The offering was arranged by CaixaBank.
Proceeds from the facilities will be used to repay the “Zon Multimedia 2012-2015” retail bonds due to mature on 19 June 2015.
“This transaction represents another important step in implementing Nos’ financing strategy, positively contributing to its strategic goals, namely: diversifying its financing sources and instruments, extending the average maturity of its financial debt and further reducing its average cost of debt,” the company said.
In March, the quad-play operator applied for a €100m loan with the European Investment Bank (EIB) to expand its fibre footprint nationwide.
The project, which would require a total investment of €200m, consists of the roll-out of fixed next-generation access networks and technological developments, including investments in the backbone network and IT systems.
The operator, the result of the 2013 merger between cableco Zon and wireless operator Optimus, told TelecomFinance it is currently focused on growing market share by 4-5%: 3-5% in the consumer segment, and 5-6% in the business sector.
The telco, whose main shareholder is Angolan entrepreneur Isabel dos Santos, aims to expand into small Latin American and African countries once it consolidates its domestic position, CEO Miguel Almeida said last month.
However, a local analyst played down the remarks, saying that it will be another two to three years before Nos is able to pursue overseas growth opportunities.
According to the analyst, the operator, which holds a 30% stake in Angolan pay TV company ZAP, is most likely to expand into Lusophone countries such as Mozambique and Cabo Verde.
