Subscribe / Unsubscribe Enewsletters | Login | Register

Pencil Banner

SingTel signs deal for credit facilities

Subatra Suppiah | April 1, 2009
Agreement of US$709 million with international banks, says Singapore telco

SINGAPORE, 1 APRIL 2009 - Singapore telco SingTel has entered into an agreement for credit facilities of S$1.08 billion (US$709 million) to refinance existing facilities and for general working capital purposes.

SingTel, through its subsidiary SingTel Group Treasury, signed the agreement for a three-year term loan facility with the Bank of Tokyo-Mitsubishi UFJ, DBS Bank, Oversea-Chinese Banking Corporation, United Overseas Bank, Calyon, Citibank, N.A. and The Hongkong and Shanghai Banking Corporation.

Jeann Low, SingTel's group chief financial officer, said: SingTel appreciates and is pleased with the commitment and participation from its bankers. The committed facility of S$1.08 billion will meet the group's refinancing requirements for the next financial year ending 31 March 2010.

SingTel has an A+ rating from Standard & Poor's and an Aa2 from Moody's Investors Service, said the telco.

For the nine months ended 31 December 2008, SingTel Group generated free cash flow after capital expenditure of about S$2.3 billion (US$1.5 billion).  Net debt as at 31 December 2008 was S$6.6 billion (US$4.3 billion), which represents a net debt gearing ratio of 25.5 per cent.

The transaction has no material impact on the earnings per share or the net tangible assets of SingTel for the current financial year, the company said.

 

Sign up for Computerworld eNewsletters.