Vodafone's (VOD) India joint venture with Aditya Birla, Vodafone Idea, will recieve a $3.5 billion in debt financing from a consortium of lenders led by State Bank of India, expected to help the wireless operator revamp its network and overall business amid stiff competition, Bloomberg reported Thursday, citing people familiar with the matter.
Financing terms include billionaire Kumar Mangalam Birla remaining as chairman throughout the nearly 10-year loan tenure, as well as guarantees of repayment in case of default, sources told the media outlet.
Other lenders include the Union Bank of India and the National Bank for Financing Infrastructure and Development, the people told Bloomberg.
Vodafone did not immediately respond to a request for comment from.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
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