America Movil Adjusts $2bn Loan

Mexico’s America Movil has adjusted terms on a $2bn 5-year bullet loan, which pays 25bp over Libor. The terms on the financing, which was taken out in April of last year, were changed so that it is now a revolving credit facility instead of a bullet loan. The final maturity is still 2011 and all 24 banks on the original deal have apparently agreed to the change. The alteration reflects the borrower’s desire for more flexibility on taking out and repaying the funds, according to a banker on the deal. In April 2006, bookrunners Citi, ABN AMRO and Inbursa led what was then seen by some as a novel Dutch auction to determine pricing on the loan, launched with a ceiling of 27.5bp and squeezed down to 25bp.