Flagging MTN raises $1bn in two dollar bond issues
MOBILE network operator MTN has raised $1bn in two dollar bonds, the telecoms firm said on Thursday, the first such issue by Africa’s biggest wireless carrier by sales since 2014.MTN reported its first ever half-year loss last month, dragged into the red by an agreement to pay a $1bn fine in its biggest market, Nigeria, for missing a deadline to cut off unregistered SIM cards."Proceeds of the issue, which is due to settle on October 13 2016, will be used for purposes of capital expenditure, to pay down working capital facilities, and for general corporate purposes," MTN said.The firm, which does the bulk of its business in emerging markets, said it had successfully priced notes of $500m maturing in February 2022 and another $500m maturing in October 2026.The five-year note has a coupon of 5.373% and the 10-year note 6.5%, compared to a coupon of 4.755% for its last 10-year issue in 2014.Reuters
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