By Christopher Mangham
Loan will result in Qtel reducing its borrowing costs, refinancing a $2bn forward start loan.
Qatar Telecommunications Co (Qtel) has signed 17 more banks into its $2 billion syndicated loan, scaling back commitments provided by senior lenders already on the deal, the arranging banks announced.
As previously reported, 14 senior banks fully subscribed the deal in April and then launched the loan to general syndication to scale back their exposure.
The arrangers said more than $1.1 billion was raised in general, and in excess of $3.8 billion overall.
The loan will result in Qtel reducing its borrowing costs, refinancing a $2 billion forward start loan agreed last September.
The new deal is split between a $1.25 billion, three year tranche that pays a fully drawn margin of 125 basis points (bps) over LIBOR and a $750 million, five year tranche that pays a fully drawn margin of 155 bps, bankers told RLPC in April.
That compared with a margin of 250 bps over LIBOR on last year's $2 billion forward start loan and 22.5 bps over LIBOR for the original three year, $2 billion revolving credit facility agreed in November 2006.
Initial mandated lead arrangers and bookrunners on the new loan are BNP Paribas, DBS, Qatar National Bank, Societe Generale and Royal Bank of Scotland. (Reuters)For all the latest Qatar news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.