Jazz secures Rs 50b credit facility to roll out 4G network

Islamabad: Jazz has secured a syndicated credit facility of Rs 50 billion from a banking consortium led by HBL. This 10-year loan will be used to fund the company’s ongoing 4G network rollouts and technological upgrades.

In terms of quantity and tenor, this is the first of its kind facility granted to the telecom sector. HBL, the consortium’s investment agent and mandated lead arranger, has fully subscribed to the facility.

United Bank Limited, National Bank of Pakistan, MCB Bank, Bank Alfalah, Allied Bank Limited, Askari Bank Limited, Bank of Punjab, Meezan Bank Limited, and Faysal Bank Limited are among the other institutions participating as mandated lead arrangers and advisors on this transaction.

Jazz is the country’s top digital service provider, with over 69 million subscribers and over 28 million 4G users. Over a two-year period, the corporation invested USD 462 million in 4G infrastructure.

Jazz’s long-term rating was recently upgraded to ‘AA’ with a stable outlook by Pakistan Credit Rating Agency Limited (PACRA), demonstrating the company’s significant financial depth in the industry.

“We will continue to advance the digital Pakistan agenda by enhancing digital infrastructure, closing the digital divide, and emphasizing financial inclusion. By investing in entrepreneurship, digital skills, and literacy, we are empowering society.

This facility is an important step in ensuring that people are not limited by distance, gender, or socioeconomic background when it comes to harnessing the potential of the internet.

A transaction of this size demonstrates the financial community’s confidence in Jazz’s solid financial profile and leading position in the telecom industry “Jazz’s Chief Financial Officer, Gabor Kocsis, stated

In his remarks on the event, Muhammad Aurangzeb, President & CEO Of HBL, noted, “We are honored to have led this historic transaction in the telecommunications industry. HBL has had a long-standing engagement with jazz that dates back more than two decades. Such transactions complement HBL’s strategic aim of promoting digitalization across the country, while also demonstrating HBL’s commitment to Pakistan’s healthy and progressive telecom sector.”