Home / Mobily raises $650m for network investment

Mobily raises $650m for network investment

Saudi Arabian telco raises funds from Finnvera and EKN

Mobily raises $650m for network investment

Saudi Arabian operator, Mobily, has raised $650m in long-term vendor financing from two banks.

Mobily signed two agreements on 11 July 2013, with the official Export Credit Agency of Finland (Finnvera) and the Swedish Export Credits Guarantee Board (EKN), for $325m each, with no guarantees.

The Finnvera component of the funding was also announced separately earlier in the month, while the $325m raised from EKN was not previously mentioned.

The purpose of the Shariah Compliant financing is to acquire network equipment from Nokia Siemens Networks (NSN) and Ericsson.

The total tenor of the facilities is 10 years, and will be used during the next 18 months.

The loan will be repaid in 17 semi-annual equal installments, and has been priced at a fixed rate of 1.71% a year.

Follow us to get the most comprehensive technology news in UAE delivered fresh from our social media accounts on Facebook, Twitter, Youtube, and listen to our Weekly Podcast. Click here to sign up for our weekly newsletter on curated technology news in the Middle East and Worldwide.

REGISTER NOW | Webinar Event | Security you can bank on – Safeguarding the Middle East’s financial sector

Presented in partnership with security and network specialist Cybereason, the second in the three part webinar series will bring together a panel of experts to discuss how banks and financial institutions are evolving their service offering while simultaneously staying one step ahead of the cyber criminals who seek to bring their operations crashing to the ground.