HSBC arranges US$45mn loan for Mobitel
HSBC announced the successful arrangement of a US$45 million, Chinese
Export Credit Agency (ECA) - Sinosure backed loan facility to Mobitel (Pvt)
Limited. This is the first time that a transaction has been supported by
Sinosure for a Sri Lankan corporate.
The loan facility is a landmark transaction in corporate debt raising
and was closed in record time. Huawei and Mobitel jointly selected HSBC
as the arranger for the Buyer Financing Facility, partly in support of
Mobitel’s GSM stage IV expansion project carried out by Huawei
Technologies Co., Ltd.
HSBC will act as the mandated arranger, facility lender, agent and
the export credit agency agent. HSBC was selected as the sole arranger
of this financing package based on the Bank’s strong capabilities in
arranging the Sinosure backed export credit facilities. Further, HSBC’s
strong network and previous experience with Sinosure ensured that the
transaction would be closed in record time.
Commenting on the landmark deal, Chief Executive Officer, HSBC Sri
Lanka and Maldives Nick A.
Nicolaou said, “Mobitel is a considerable force in the
telecommunication industry in Sri Lanka, and have been instrumental in
providing telecommunication solutions to a wide audience, both urban and
rural. We feel this partnership will enable Mobitel, the second largest
mobile service provider, to offer advanced technological solutions to
its growing customer base in Sri Lanka.
In this instance, we are proud to contribute to their growth by
arranging this loan facility.”
The facility will be used to finance a major portion of the current
expansion carried out by Huawei Technologies Co., Ltd., China and
Mobitel (Pvt) Limited, the second largest mobile operator in Sri Lanka.
The financing package will be delivered as a term loan with the
participating lenders being HSBC, and Credit Suisse. |