Lenders ring the changes at Eircom
Published 27/05/2015 | 02:30
Eircom lenders have agreed to give the company three extra years to pay the bulk of its debts.
On May 1 the telecoms company asked lenders to extend until 2022 maturity of a €1.9bn term loan "B2" which was due to mature in 2019 and a smaller €108m loan falling due in 2017.
Lenders have agreed by a 98pc majority to extend the larger loans.
The so-called "amend and extend" consent secured from lenders includes giving Eircom permission to spend up to €500m on acquisitions and potentially sell up to €50m of property, including a telephone exchange on Crown Alley in Dublin's Temple Bar.
Securing the consent from its lenders boosts Eircom's operational and financial flexibility.