Indonesia's Mobile-8 gets $70 million loan from Lehman Brothers<\/p>\n
Jakarta (ANTARA News) - Lehman Brothers has given Cellphone carrier PT Mobile-8 Telecom, a 76.01 pct-owned unit of PT Bimantara Citra, a 70 mln-usd loan facility, Mobile-8 said.<\/p>\n
The rate of interest is the LIBOR plus 6 pct, XFN-Asia reported citing the company.<\/p>\n
The loan facility is secured against 70 mln Mobile-8 warrants. However,
\nthe terms for conversion of the warrants will depend on the pricing of
\nMobile-8's initial public offering (IPO), which is slated for November.<\/p>\n
Bimantara president Hary Tanoesoedibjo said Mobile-8 would use the
\ngreater part of the loan and the proceeds of its IPO to expand its cellphone network in Sumatra and Kalimantan.<\/p>\n
He said Mobile-8 aimed to expand the capacity of its network to 4 mln
\nsubscribers by the end of next year and to 7 mln by the end of 2008, from the estimated 2.2 mln at the end of this year.<\/p>\n
\"Mobile-8 has gone through its most difficult time as a new operator. It
\nis now entering a new stage where its subscriber base, revenue and profit can grow significantly,\" Tanoesoedibjo said.<\/p>\n
Mobile-8 had 1.4 mln subscribers at the end of last month. (*)<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/mobile-8-gets-70-million-loan-from-lehman-brothers-1158896520", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }