Turk Telekom has secured the second €100m (US$137.8m) tranche of a €200m loan agreement with the European Investment Bank (EIB) to finance its broadband rollout.
The eight-year loan has a maturity of eight years and a grace period of three years,…
Turk Telekom has secured the second €100m (US$137.8m) tranche of a €200m loan agreement with the European Investment Bank (EIB) to finance its broadband rollout.
The eight-year loan has a maturity of eight years and a grace period of three years, the Turkish incumbent said in a statement. The annual interest rate is yet to be determined.
EIB agreed in late October to lend Turk Telekom €200m to invest in the rollout of fixed broadband telecoms services in six regions of eastern Turkey. The Istanbul-based telco received the first €100m tranche that month. The total cost of the broadband rollout project, set to be completed in 2014, is €470m, according to EIB.
Yesterday, Turk Telekom named Rami Aslan, who has served as CEO of parent company Oger Telecom, as its new CEO amid a leadership shake-up aimed at making the company more efficient. The changes included combining the roles of group CEO and general manager into a single CEO role, while the CFO position was removed.
Turk Telekom has been very active in debt markets this year, securing about US$1.19bn in six loans before the new €100m EIB tranche. In October, the Istanbul-based telco also announced plans to issue conventional and/or Islamic bonds abroad worth up to US$1bn.
