Qtel still in syndication process for $1.5bn loan refinancing
Qatari telecoms firm Qtel will complete the syndication of a $1.5bn forward-start loan by the end of August, according to bankers close to the deal.
The firm announced in March it had appointed lead arrangers on the loan and had already secured commitments of $1.5bn.
The lead arrangers were the UK’s Barclays Capital and Royal Bank of Scotland, France’s BNP Paribas, Singapore’s DBS Bank and Japan’s Mitsubishi UFJ.
“Qtel has been well supported by the banks and the size of the deal could be increased by the time it is completed,” says a syndications banker at a regional bank.
Bankers started to syndicate the forward-start loan in late June (MEED 8:6:09).
Under a forward-start deal, banks commit to lend money on the maturity date of an existing loan facility.
Companies often use forward-start deals to hedge against an expected rise in interest rates.
Qtel has a $2bn loan that matures in December.