Cobalt has represented a syndicate of banks including AB SEB Bankas (in Lithuania), Danske Bank A/S (in Denmark), and Nordea Bank AB (in Sweden) in granting a syndicated loan of EUR 60 million to Telia Lietuva. The borrowers were advised by the South African office of Allen & Overy.
According to Cobalt, "the funds will be used to refinance the loan which was granted by the company’s shareholder Telia Company a few years ago to the telecommunications company then named Omnitel. The financing in the amount of EUR 77 million was intended for the development of 4G network."
The syndicated loan, granted in equal EUR 20 million portions by the three banks, was arranged by SEB Bankas in Lithuania, together with SEB Bankas in Sweden (Skandinaviska Enskilda Banken AB). The maturity of the loan is 5 years.
“This is a major, complex credit transaction, not common in Lithuania, which was arranged by SEB Bankas in compliance with international loan standards (LMA, Loan Market Association)," said Vilius Juzikis, Head of Corporate Banking at SEB Bankas. "Telia Lietuva is a good example for the market how to benefit from the favorable situation and professionally optimize financial liabilities."
The Cobalt team was led by Partner Akvile Bosaite.
The Allen & Overy team was led by Partner Michael Duncan and Senior Associate Alex Cockburn.