Samba seeks $400m Mobily acquisition finance

02 April 2008
Samba Financial Group is arranging a SR1.5bn ($400m) subordinated loan for Etihad Etisalat (Mobily), to pay for its acquisition of Bayanet al-Oula, the Saudi-based data provider.

The bank is understood to be close to finalising terms on the deal with three other Saudi banks and is expected to close the deal by the end of April.

Humoud al-Ghobaini, spokesman for the telecoms firm, adds that a second acquisition of a Saudi internet service provider was also close to being agreed.

The Bayanet acquisition was agreed in September last year, and Mobily hopes that the company’s wireless internet technology will enable it to sign up more customers and increase broadband penetration rates.

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