Batelco closes $650mln bond and $450mln loan

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Manama: Batelco yesterday announced that it has repaid in full $473 million of the outstanding senior unsecured bond issued by a subsidiary company and due on May 1.

The $650m bond was issued in 2013, with $177m subsequently repurchased and redeemed. The $473m repayment was mainly funded through a $450m term loan facility.

Ahli United Bank and Bank ABC in their capacity as initial mandated lead arrangers and bookrunners successfully closed the facility, which was signed on March 18. For the transaction, AUB acts as the investment facility agent and ABC as the designated global and conventional facility agent.

Batelco chief executive Mikkel Vinter, who confirmed the full repayment of Batelco’s bond, said that the successful closing of the facility in a volatile and financially distressed market reflects Batelco’s strong financial standing, its solid business model, prudent risk management and overall growth strategy.

“This transaction also demonstrates the ability of both AUB and ABC to lend and support the Bahraini economy and Batelco in such challenging times,” Mr Vinter added.

The banks expressed their delight with the successful closure of the transaction and wished Batelco continued growth and prosperity in the future.

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