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FINANCIAL NEWS
Dubai’s du secures $255m credit facility
07 Oct 2010
(MENAFN) Dubai-based telecoms operator du announced that it has secured an additional $255 million credit facility from The Export-Import Bank of China to fund expansion of its 3G network, Khaleej Times reported.
The company said in a statement that part of the credit facility will be used to repay an existing $85 million short-term facility and the remainder will go to purchase equipment for expansion of the 3G network.
The agreement will help du turn its three-year short term borrowing into a seven-year facility, based on a two-year drawdown and five-year repayment plan.
The telecoms firm, partly owned by the ruler of Dubai’s investment company Dubai Holding and Abu Dhabi investment vehicle Mubadala, more than doubled its second-quarter net profit on the back of growth in both mobile and fixed-line subscribers.
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