Reliance Communications gets $665 mn from Chinese bank
March 17th, 2011 - 7:39 pm ICT by IANS
New Delhi, March 17 (IANS) Reliance Communications Thursday said it has received $665 million from China Development Bank as the first instalment of a $1.93 billion loan to finance its third generation (3G) telecom services business.
“The drawn down amount will be used to refinance Reliance Communications’ short-term rupee borrowings, resulting in substantial savings in its interest cost apart from extending its debt maturity profile,” the company said in a statement.
The shares of the Anil Ambani Group company was the top gainer among the 30 shares that go into the basket of shares for the benchmark sensitive index (Sensex) of the Bombay Stock Exchange (BSE), up 3.50 percent at Rs.106.55.
The loan facility is fully underwritten by the Chinese bank and represents the first and largest-ever syndicated loan not only in India’s telecom sector, but also in terms of a loan to an Indian entity from a Chinese financial institution, the statement added.
It includes a loan agreement for $1.33 billion to re-finance the 3G spectrum fee payment by the operator and $600 million for financing imports, as also for domestic expenditure on telecom equipment sourced from the Chinese vendors namely, Huawei and ZTE.
- Reliance Communications inks $1.9 bn loan deal with Chinese bank - Mar 09, 2011
- Reliance Communication to get $1.93 bn from China Bank - Dec 15, 2010
- Reliance Communications Q3 net profit up 7.7 percent - Feb 14, 2011
- Reliance draws second tranche of loan - May 12, 2011
- Reliance Communications raises $255 mn for part-finance of 3G loan - Jan 18, 2011
- Reliance Communications gets RBI nod for refinancing FCCBs - Feb 16, 2012
- Rivals? India seeks bigger Chinese role in infrastructure - Oct 09, 2011
- Reliance Communications revenue rises 4.4 percent in 2010-11 - May 30, 2011
- Huawei to manage Bharti Airtel's 4G network in Karnataka - May 01, 2012
- ZTE bags enterprise solutions contract from Power Grid - Sep 13, 2011
- Bharti Airtel signs network expansion deal with Huawei - Jun 01, 2011
- Anil Ambani talks of unlocking shareholder value (Roundup) - Sep 27, 2011
- Sibal to launch Bharti Airtel's 4G services Tuesday - Apr 09, 2012
- Some 50 business pacts signed during Wen's visit - Dec 15, 2010
- Huawei launches enterprise business unit in India - Sep 28, 2011
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