Entel Gets $400m Loan

Chile’s Empresa Nacional de Telecomunicaciones (Entel) has closed on a $400m, 5-year term loan, according to sources familiar with the transaction. The loan begins amortizing at three years, and pays Libor+130bp, with step-ups in years 4 and 5. The BBB+/BBB+/Baa1 club deal brings in BTMU, Mizuho, HSBC and Scotiabank at $100m each. The telecom will use the proceeds for capex and debt refinancing. In December 2011, Entel signed a $200m, 3-year bullet loan with Bank of Tokyo-Mitsubishi UFJ and Scotia paying Libor +100bp, also for debt refinancing.