MTS GETS 413-MILLION LOAN TO EXPAND NETWORK
/PanARMENIAN.Net/
29.06.2009 17:30 GMT+04:00
/PanARMENIAN.Net/ Mobile TeleSystems OJSC (MTS), the largest mobile
phone operator in Russia and the CIS, announces that it has signed
agreements to receive three separate loans for the total amount of EUR
413 million from the European Bank for Reconstruction and Development
(EBRD), the Nordic Investment Bank (NIB) and the European Investment
Bank (EIB) to be used for the further development of 2G and 3G mobile
networks in the Company’s markets of operation.
The EBRD loan in the amount of EUR 218 million amends a previously
unused commitment, concluded in December 2008, and will provide
funding for the development of the Company’s networks in Russia,
Uzbekistan and Turkmenistan. The loan will have two tranches; the
first tranche of EUR 115 million has a 7-year maturity, while the
second tranche of EUR 103 million has a 3-year maturity.
The NIB loan in the amount of EUR 80 million will be used to finance
the further expansion of the Company’s 2G and 3G mobile networks in
Russia, Ukraine, Armenia and Turkmenistan. The loan is in two tranches
of EUR 40 million each with maturities of 7- and 3-years.
The EIB loan in the amount of EUR 115 million will support the rollout
of 3G/UMTS-based mobile broadband services in the Russian Federation
in terms of the purchase and installation of equipment and software
licenses for UMTS-based 3G access and core network. EIB funds will
allow MTS to increase its rollout of 3G networks to additional
cities in Russia in 2009. The loan will have a 7-year maturity,
pressreleasepoint.com reported.
MTS owns 80 percents of VivaCell-MTS shares. Number of subscribers
reached 2.06 million as of April 2009.