MTN Cameroon, the country’s largest mobile operator by subscribers, has signed a syndicated term loan and a five-year revolving credit facility to help fund the deployment and development of its 3G network. Biztech Africa writes that the XAF60 billion (USD103 million) facility was granted by a group of six banks led by Citibank Cameroon as the coordinator, bookrunner and mandated lead arranger. Akin Dada, executive general manager of Citibank Cameroon, noted that the agreement ‘marks an exciting new chapter for MTN’s ongoing growth and success’, adding: ‘The transaction is important to both MTN in Cameroon and the economy because it will lead to an improvement in the telecoms infrastructure and services, bringing 3G and 4G to a wider population served by MTN.’
As previously reported by CommsUpdate, earlier this year South African-owned MTN Cameroon and France’s Orange Cameroun each agreed to pay XAF75 billion to renew their GSM licences for a further 15 years. Alongside the renewal, the cellcos also received permission to launch 3G and 4G services, enabling them to compete with Viettel Cameroon (Nexttel) in the high speed mobile data market.