China Development Bank provides $106 million loan to Oasis S.P.R.L. to finance its equipment purchases from Huawei
Commitment amount
$ 215386603.03721055
Adjusted commitment amount
$ 215386603.04
Constant 2021 USD
Summary
Funding agency [Type]
China Development Bank (CDB) [State-owned Policy Bank]
Recipient
Congo (DRC)
Sector
Communications (Code: 220)
Flow type
Loan
Level of public liability
Private debt
Infrastructure
No
Category
Project lifecycle
Description
In September 2006, Oasis S.P.R.L. ('Oasis') — a local subsidiary of Millicom in the Democratic Republic of Congo —entered into a $106 million loan agreement with the China Development Bank to finance its equipment purchases from Huawei. The loan bears interest at LIBOR plus 2% and is repayable over 17 equal quarterly installments commencing in 2009. The loan carries a 7 year maturity with no grace period. It is guaranteed by Millicom. As of December 31, 2010, $55 million was outstanding under this facility (2009: $75 million).
Additional details
1. The interest rate that applies to this loan (7.409%) was calculated by taking the average 6-month LIBOR rate during the month (September 2006) when the loan agreement was finalized (5.409%) and adding a 2% margin.
Number of official sources
2
Number of total sources
2
Details
Cofinanced
No
Direct receiving agencies [Type]
Oasis S.P.R.L. [Private Sector]
Implementing agencies [Type]
Oasis S.P.R.L. [Private Sector]
Guarantee provider [Type]
Millicom, Inc. [Private Sector]
Loan Details
Maturity
7 years
Interest rate
7.409%
Grace period
0 years
Grant element (OECD Grant-Equiv)
6.4682%