Australian telco and satellite operator Optus, owned by Singapore-based telco SingTel Group, has announced that it signed a three-year A$1.2bn (US$1.3bn) revolving facility with 12 banks.
The financial institutions are: Australia and New Zealand Banking…
Australian telco and satellite operator Optus, owned by Singapore-based telco SingTel Group, has announced that it signed a three-year A$1.2bn (US$1.3bn) revolving facility with 12 banks.
The financial institutions are: Australia and New Zealand Banking Group, Bank of America, Barclays, The Bank of Tokyo-Mitsubishi UFJ, BNP Paribas, Citibank, Commonwealth Bank of Australia, HSBC, JP Morgan Chase Bank, Mizuho Corporate Bank, Oversea-Chinese Banking Corporation and Westpac Banking Corporation.
Meanwhile, the mobile unit of SingTel Group also inked a three-year S$2.16bn (US$1.7bn) revolving credit facility with 12 banks: Australia and New Zealand Banking Group, Bank of America, The Bank of Tokyo-Mitsubishi UFJ, Citibank, Deutsche Bank, DBS Bank, HSBC, Mizuho Corporate Bank, Oversea-Chinese Banking Corporation, Standard Chartered, Sumitomo Mitsui Banking Corporation and United Overseas Bank Limited.
The SingTel Group said in a statement that the proceeds would be used for general corporate purposes and to refinance existing facilities.
This announcement comes a few months after Optus said it commissioned a new Ku-band satellite, Optus 10, to be built by Space Systems/Loral (SS/L). Expected to be delivered in 2013, the satellite, which will have 24 transponders, will cover Australia and New Zealand.
According to a SS/L statement, Optus 10 will be the tenth satellite in the SingTel Optus fleet to be launched for Australia and the second built by SS/L.
In a separate statement, NBN Co, the PPP in charge of Australia’s national broadband network, recently said it signed contracts with both Optus and IPstar for satellite services and satellite capacity for its interim satellite service.
NBN Co plans to invest A$36bn (US$37bn) in a fibre network expected to provide up to 100 Mbps to 93% of homes and businesses. The remaining premises are to be serviced by wireless and satellite technologies providing a minimum speed of at least 12 Mbps.
The interim satellite service, which will provide download speeds of up to 6Mbps, will be available from July 2011. It is designed to provide satellite services to rural, remote and isolated Australians prior to the construction and launch of two Ka-band satellites in 2015.
NBN has yet to select a prime vendor or launch provider for the two birds, which are expected to cost in the region of A$500m each to build, launch and insure. In late April, Marsh won the broker tender to place launch plus one insurance for the two Ka-band satellites and will help advise the company on its order process.
SatelliteFinance understands that NBN is looking at all potential procurement options, such as an in-orbit delivery or separate contracts, and is likely to make a decision shortly.
It has been reported that Optus is among the shortlisted companies to provide satellite services to the NBN. But according to local press, Optus’ current generation satellites may not be capable of delivering the 12Mbps required.
