Banglalink secures Tk 1,200cr syndicated loan

The funds will be utilised in Banglalink's capital expenditure, spectrum acquisition and 4G network modernisation

Telecom operator Banglalink yesterday signed an agreement with 17 banks in the country to secure a five-year syndicated term loan of Tk 1,200 crore.

Eastern Bank is the mandated lead arranger, book runner and agent of the loan.

The funds borrowed under this loan agreement will be utilised in Banglalink's capital expenditure, spectrum acquisition and 4G network modernisation across the country, the operator said in a statement yesterday.

Banglalink has recently increased its total spectrum holding to 80 MHz.

It has declared its plan to establish more than 3,000 new base stations this year.

Erik Aas, chief executive officer of Banglalink, said, "The significant investment that we are set to make is yet another testament to our firm commitment to the Bangladesh market."

"The syndication deal underscores the strength of Banglalink's credit worthiness and goodwill among the financial community. I hope this deal will support Banglalink's profitable growth further," said Ali Reza Iftekhar, managing director and CEO of Eastern Bank. 

Cem Velipasaoglu, CFO of Banglalink, said, "This funding arrangement is a significant milestone for Banglalink as this will facilitate to unlock many opportunities for the company."