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Thai mobile operator secures half of required funding from Chinese bank.
Thailand’s True Corp has secured letters of credit worth close to €2 billion from six banks that will enable it to pay for the 4G licence it won in December, according to local press reports.
The mobile operator obtained bank guarantees worth 73 billion baht (€1.89 billion), with half of the loan coming from Industrial and Commercial Bank of China (Thai), the Bangkok Post reported on Wednesday.
Five Thai institutions – Bangkok Bank, Kasikornbank, Siam Commercial Bank, Krungthai Bank and Kiatnakin Bank – made up the remainder, the paper said.
True Corp, via its True Move H Universal Communication unit, and Jasmine International’s Jas Mobile Broadband won two available 900-MHz licences late last year, paying THB76.3 billion, and THB75.65 billion respectively.
True will use the loans for three bank guaranteed payments for the licence, the first of which is due next week, the Bangkok Post said.
The paper added that True plans to spend THB36 billion (€934 million) this year on the rollout of 20,000 4G base stations.
It reportedly aims to increase its revenue market share to 33% by 2018, up from 21% at present.
