Russia-focused telco VimpelCom has reportedly hired nine banks to arrange a US$3.66bn syndicated loan to help fund its reorganisation and refinance about €10bn in debt attached to Italian unit Wind.
The three-year loan will match the euro and US…
Russia-focused telco VimpelCom has reportedly hired nine banks to arrange a US$3.66bn syndicated loan to help fund its reorganisation and refinance about €10bn in debt attached to Italian unit Wind.
The three-year loan will match the euro and US dollar currency mix of outstanding Wind senior secured bonds set to mature over the next few years, Reuters reported citing unnamed bankers.
The exact structure of the loan may change and could be syndicated further, the report stated.
Pricing is expected to be between 300 and 400 basis points and increase over time.
ING is reportedly coordinating the loan, while the other banks involved are Intesa Sanpaolo, BNP Paribas, Credit Agricole, Deutsche Bank, Barclays, Sberbank, RBS and Alpha Bank’s unit Letter One.
A VimpelCom spokesperson declined to comment on the report.
Amsterdam-based VimpelCom reported net debt of US$22.6bn at the end of Q2 2013, leading to a net debt to LTM EBITDA ratio of 2.3x.
Wind issued a €575m (US$777m) dual-tranche bond in euro and US dollars earlier this year. The telco also has senior secured notes worth about €500m (US$675.7m) due 2018.
