Financed ProjectsTelemobil SA

Identification Code:

OP/01/0296

Total Operation Cost:

0

Maturity:

84 months

Operation Status:

Description and Purpose of the Operation:

BSTDB extended a US$16 million long term debt financing to the Romanian Telemobil SA. The facility is used for further development of efficient high performance voice and data mobile telecommunications network in Romania on the basis of CDMA technology in the 450 MHz band. BSTDB's loan is a part of financing arrangements for this Operation estimated at around US$ 93 million, which includes a combination of senior secured term credit facilities and subordinated debt facilities to support network expansion and to sustain Telemobil's operation costs while building the subscriber base. A total of 490 sites are planned for the main build-out. The Operation is expected to have high economic development impact as it creates employment opportunities and supports the development of advanced telecoms network in Romania. In particular, this investment and further development of a new mobile telephony network shall provide opportunities for offering a wider range of services and lower prices. BSTDB's loan is for a tenor of 7 years.

Countries of Operation:

Romania (100,00 %)

Financial Product:

Loans

Sector:

Telecommunication Services

Domain:

Private

Borrower/Client:

Telemobil S.A.

Co-Financiers/Participants:

The Operation's total funding requirement is estimated at around US$93m. This will be met by a combination of senior secured term credit facilities and subordinated debt facilities. Senior Lenders: Bank Austria Creditanstalt AG and Raiffeisen Bank SA• Subordinated Lenders: BSTDB and Ex-Im Bank.

Guarantors/Sponsors:

Developmental and Regional Cooperation Impact:

The Operation is expected to have high economic development impact as it creates employment opportunities, generates taxes and supports the development of advanced telecoms network in Romania.

Environmental Classification and Impact (summary):

The Project is in compliance with the Bank's Environmental Policy.

Operation Leader:

Energy & Infrastructure

E-mail:

ei@bstdb.org