Banglalink secures Tk 12 billion syndicated term loan

Banglalink has signed an agreement with 17 banks to secure a five-year syndicated term loan of Tk 12 billion.

The funds will be utilised in Banglalink’s capital expenditure, spectrum acquisition, and its 4G network modernisation, the mobile phone operator said in a statement on Tuesday.

Eastern Bank Ltd supported Banglalink in this endeavour as the Mandated Lead Arranger, Book Runner and Agent of the loan, according to the statement.

Banglalink CEO Erik Aas and the top executives of the banks signed the agreement. Mohd Humayun Kabir, executive director of Bangladesh Bank, and Muhammad A Rumee Ali, a director of Banglalink, Ali Reza Iftekhar, managing director and CEO of Eastern Bank, Cem Velipasaoglu, chief financial officer of Banglalink, the telecom operator’s Chief Corporate and Regulatory Affairs Officer Taimur Rahman were among those who were also present.

Banglalink has recently increased its total spectrum holding to 80 MHz, which will underpin its position as “the fastest 4G network in Bangladesh”, the company said.

It has revealed its plan to establish more than 3,000 new base stations this year. Along with boosting network capacity, Banglalink has expanded its digital service portfolio in recent times by launching the country’s first digital health aggregator platform ‘Health Hub’, and a digital services marketplace ‘Applink’.

CEO Erik said, “The significant investment that we are set to make, is yet another testament to our firm commitment to the Bangladesh market. We are happy to have the country’s leading banks as our partners for our future growth.

“I am confident that our network expansion will accelerate our journey towards the target of double-digit growth and will make us more equipped to contribute towards the digital progress of Bangladesh.”

Ali Reza, managing director and CEO of EBL, said the bank has been in “the forefront of financing and facilitating the development of digital solutions in the country”.

“I would like to express my thanks to all the participating lenders for their tremendous support in the timely closure of this deal.”

“This funding arrangement is a significant milestone for Banglalink as this will facilitate to unlock many opportunities for the company. We are pleased to see the commitment of Bangladesh’s leading banks towards Banglalink’s progress,” said Cem Velipasaoglu, CFO of Banglalink.