Bharti Airtel today said it has received financing commitments of up to USD 2.5 billion from China Development Bank and Industrial and Commercial Bank of China, with an average maturity of about nine years.
The company signed the term sheets for the financing options in the presence of Prime Minister Narendra Modi, who is currently on an official visit to China.
According to Airtel, “The funds will help the company further diversify its global financing pool and invest in the growth of data networks. China Development Bank has committed financing of up to USD 2 billion with an average maturity of about nine years.”
This is the “single-largest bilateral commitment by China Development Bank to any telecom operator globally and the largest bilateral commitment to a private Indian company”.
On the other hand, Industrial and Commercial Bank of China has committed USD 500 million with an average life of about nine years.
Rajan Bharti Mittal, Vice-Chairman, Bharti Enterprises, said, “We are delighted to sign these agreements. It is an endorsement of the long-term potential of the Indian telecom sector. Given the availability period of three years, these financings shall further add to the financial flexibility of the Company.”