13 bank consortium backs Etisalat’s expansion with N189.9bn

SYNDICATION: L-R GMD/CEO, United Bank for Africa, Mr. Phillips Oduoza;

Chief Executive Officer, Etisalat Nigeria, Mr. Steven Evans; Members of the

Board of Directors, Emerging Markets Telecommunications Services (EMTS),

Mrs. Isabella Okagbue and Mr. Junaid Dikko; and MD/CEO, Guaranty Trust Bank,

Mr. Segun Agbaje at the Etisalat $1.2bn Medium Term Loan Signing Ceremony

at Four Points by Sheraton, Oniru, Lagos on Tuesday, May 21st 2013.

Etisalat Nigeria has received a path on the back from 13 prominent banks in Nigeria to expand its network to the tune of US$1.2 billion, about N189,959,982,695 billion, as a syndicated loan.

Disclosing this Tuesday in a media chat with DigitalSENSE Business News, the chief executive officer, Etisalat Nigeria, Mr. Steven Evans said that the company plans to use the proceeds to refinance the existing commercial medium term debt of US$650 million about N102 billion to continue its network rollout across Nigeria.

He also said that Etisalat would continue to release innovative products and services to over 15 million subscribers already on the network.

Evans explained that the facility includes both Naira and US dollar tranches from a consortium of Nigerian banks, namely: Zenith Bank, Guaranty Trust Bank, First Bank, United Bank of Africa, Fidelity Bank, Access Bank, Ecobank, Keystone Bank, First City Monument Bank, FSDH Merchant Bank, Mainstreet Bank, Stanbic IBTC Bank and Union Bank. 

“We are delighted with the continued support and confidence shown by so many banking partners. They have shown great faith in the company since launch and we view that as a sign of their endorsement of Etisalat Nigeria’s strategy and execution capabilities. We aim to continue to focus on our network expansion, our investment in 3G, as well as ensuring we offer the uncompromising network quality and customer service our subscribers have come to expect from us,” Mr. Evans assured.

For the chairman, Emerging Market Telecommunications Services (EMTS) owners of Etisalat Nigeria, Mr. Hakeem Belo-Osagie, highlighted that the loan is yet another key step in the company’s development.

“Etisalat Nigeria has grown from strength to strength reaching 15 million subscribers earlier this year. This loan is a testament to the robust strategy of the company and the faith of the banking community. It will serve to further boost the company and the telecommunications sector. It is important to also note the enabling environment created by the Federal and State governments of Nigeria as well as the National Communications Commission” Belo-Osagie said. 

He stressed that with this process, Etisalat Nigeria has benefited from the experience and support of its pioneer shareholders; Etisalat Group, Mubadala and Myacynth.

L-R GMD/CEO, Zenith Bank Plc., Mr. Godwin Emefiele; Chief Executive Officer,

Etisalat Nigeria, Mr. Steven Evans; Member of the Board of Directors,

Emerging Markets Telecommunications Services (EMTS), Mr. Junaid Dikko;

and Group Head, Telecoms, Construction & Infrastructure, First Bank,

Mr. Johnson Agoyero at the Etisalat $1.2bn Medium Term Loan Signing

Ceremony at Four Points by Sheraton, Oniru, Lagos on Tuesday, May 21st 2013.

And for the Chief Finance Officer, Etisalat Nigeria, Mr. Andrew Kemp the mobile network operator is further encouraged not only by the steadfast support of the eight (8) banks that have been a part of our original consortium, but also by the addition of new partner banks.

 
“This truly represents a vote of confidence in our results thus far and our plans for expansion. We also wish to thank all the advisers in this transaction, namely Citi, FBN Capital, Aelex, Norton Rose and Banwo & Ighodalo,” Kemp said.

Remmy Nweke/DigitalSENSE Business News
 
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