EBRD approves EUR225m loan to Cosmote

25 Jul 2013

The European Bank for Reconstruction and Development (EBRD) has confirmed that it has approved a EUR225 million (USD297.4 million) financing agreement for Cosmote Romania. EUR75 million will be provided from the EBRD’s own account, with the remaining EUR150 million due to be sourced from ‘a diverse group of seven commercial banks’. According to the EBRD, the loan will enable Cosmote to finance the renewal of its licences, pay for its Long Term Evolution (LTE)-suitable spectrum and satisfy part of the capital expenditure requirements for its 4G network.

According to TeleGeography’s GlobalComms Database, Cosmote announced the launch of commercial LTE services in Bucharest, Otopeni, Ploiesti, Cluj, Iasi, Sinaia, Busteni and Predeal in April 2013, enabling subscribers to experience maximum transmission speeds of up to 75Mbps/37.5Mbps (down/uplink). Cosmote also offers DC-HSPA+ speeds of up to 43.2Mbps in 159 cities and over 1,000 localities across Romania, covering over 49.5% of the population. In addition, 21.6Mbps HSPA+ technology is offered in a total of 189 cities, giving Cosmote 3G coverage of 73% of the population.