Qtel to use cash to pay off 2012 debt

Dubai, April 24, 2012

Qatar Telecom (Qtel) will use its own cash to pay off any debts maturing in 2012 and is not "undertaking" any refinancing options currently, the former monopoly said on Tuesday.

"Qtel does not have any immediate refinancing requirements and accordingly is not undertaking any refinancing at this time," the state-controlled company said in an emailed statement. "Current year maturities will be addressed using cash on hand.”

On Monday, Reuters Loan Pricing Corp, a Thomson Reuters unit, reported Qtel had sent requests for proposals to international lenders for a $2 billion refinancing loan. This was slated to be used to pay off a $3 billion, five-year loan signed in 2007 that matures this October.

The top-rated company was seeking to split financing between a $1 billion standby commercial paper facility and a $1 billion revolving credit facility, bankers earlier told RLPC, a Reuters.

"As part of its ongoing financial management strategy, Qtel continually looks to optimise its funding options as part of its capital structure management," the statement added. – Reuters

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