HELIOS TOWERS NIGERIA (HTN) CLOSES ON A $250 MILLION IFC-LED FINANCING - 20 JANUARY 2010
On 29th December 2009, Helios Towers Nigeria (“HTN”), Nigeria’s leading and foremost telecommunications infrastructure sharing/co-location and managed services provider closed and funded a $250 million facility, which was structured and arranged by the International Finance Corporation (“IFC”), a member of the World Bank Group. IFC is also the Administrative Agent while First City Monument Bank Plc (“FCMB”) is the Local Agent. The Facility is comprised of three tranches: (a) $200 million senior secured tranche from a syndicate of DFIs and FCMB; (b) a $25 million sub debt facility by IFC; and (c) a $25 million quasi-equity tranche provided by IFC.
The seven-year deal is one of the largest financing transactions arranged in the Nigerian telecoms sector since the onset of the global financial crisis and ensures that HTN is fully funded with significant growth capital to continue to meet its key strategic objectives of further growing its business to well over 2,000 sites and thereby remaining Nigeria’s premier co-location and managed services provider to GSM and CDMA operators as well as broadband internet services providers . This is the second syndication arranged for Helios Towers with an earlier $164 million (Naira equivalent) Senior Secured Facility which was structured and arranged by FCMB with participation from other leading local banks..
Investors in the Facility were attracted to HTN’s leading market position, proven operational capabilities, diverse customer base covering the majority of GSM and CDMA operators, robust corporate and financial governance as well as ISO 9001 Certification. The financing comprises the majority of the DFI lender universe including IFC, Nederlandse Financierings-Maatschappij Voor Ontwikkelingslanden N.V. ("FMO"), Deutsche Investitions- und Entwicklungsgesellschaft MBH ("DEG"), Societe De Promotion et de Participation Pour La Cooperation Economique ("PROPARCO"), African Development Bank ("AFDB") and FCMB, as the only local lender.
HTN is controlled by funds advised by Helios Investment Partners, an Africa-focused private investment firm. Helios manages funds and related co-investment entities on behalf of private and public institutions, global investment funds and high net worth individuals. Helios pursues a full range of investment types, including business formations, growth equity investments, structured investments in listed entities and large leveraged acquisitions across Africa.
IFC, a member of the World Bank Group, creates opportunity for people to escape poverty and improve their lives. We foster sustainable economic growth in developing countries by supporting private sector development, mobilizing private capital, and providing advisory and risk mitigation services to businesses and governments. Our new investments totaled $14.5 billion in fiscal 2009, helping channel capital into developing countries during the financial crisis. For more information, visit www.ifc.org.