Sonatel said that it would issue XOF 100 billion of bonds by mid-July in the largest ever debt issue by a private company on the regional market, Reuters reported. The bond issue has been approved by the regional council of the West African monetary union and the subscription period will run from 15 June to 15 July, Sonatel said. The bond's maturity is seven years with an interest rate of 6.50 percent, it added.
Sonatel said the funds would be invested in infrastructure to "continue the modernisation and extension of the Sonatel network" and support expansion into new sectors such as energy, banking and multimedia content.
Sonatel says it is the market leader in the five countries where it operates: Senegal, Mali, Guinea, Guinea-Bissau and Sierra Leone. Orange owns 42 percent of the company, the Senegalese state controls 27 percent, and the remaining shares either float or are owned by company employees.
