Tatas to raise $2 bn for C&WW bid: report
22 Mar 2012
Tata Communications Services is close to finalising a $2-billion term loan from a consortium of four or five banks in the next few days for tabling a bid for British telecom giant Cable & Wireless Worldwide Plc (C&WW), Reuters today reported, citing sources.
Standard Chartered, which is advising Tata Communications on the potential bid, is said to have underwritten part of the financing.
Other banks in the consortium that are also expected to provide underwritten commitments and are working towards seeking approvals are ANZ, DBS Bank and State Bank of India, the report said.
HSBC, ING Bank and Royal Bank of Scotland are interested in joining as underwriters, it added.
The terms and conditions of the loan are being worked out, and the loan agreement is expected to be signed before 29 March - the last day for Tata Communicationsto table its bid for C&WW.
The paper said that the loan would have a tenor of 30-36 months with an availability period of six months. The all-in pricing is expected to be over 375 pence over Libor.