Brazilian Telecom Closes Debenture

Companhia de Telecomunicacoes do Brasil Central, known as Algar Telecom, has completed a domestic BRL294m ($135m) bond sale, according to the CVM, upsizing from BRL220m. A BRL61m 2017 tranche pays the DI+1.4%, in from a DI+1.5% ceiling, and a BRL233m 2019 inflation-linked tranche pays 6.0%, inside of a 6.6% limit. Algar is raising funds to repay debt and for working capital. Banco Votorantim, Itau and Santander are managing the sale. Part of the Algar Group, Algar Telecom offers telephone, cellular, cable television and data service in six Brazilian states.