Company name
Telecom Argentina S.A.
Project number
12542-01, 12542-02
Category B projects have potential environmental and/or social impacts and risks that are less adverse than those of a Category A and which are generally limited to the project site, largely reversible and can be mitigated via measures that are readily available and feasible to implement in the context of the operation.
E&S category
B
Country
Argentina
Sector
Digital Economy
Status
In implementation
Disclosed date
04/05/2019
Projected date at which a project will be put forward for the Board of Executive Directors’ approval.
Projected board date
05/07/2019
Approval date
05/07/2019
Signed date
05/29/2019
Sponsoring entity
Telecom Argentina S.A.
Investment Operations Department Contact
N/A
Investment type
Syndicated amount
USD $ 225,000,000
Financing amount
USD $ 300,000,000
Currency
USD
Project scope and objective
The Project aims to achieve better connectivity and greater access to data services, and consists of two types of funding: (i) a syndicated loan led by IDB Invest of up to US$300 million to fund Telecom Argentina’s fixed investments during 2019 (the "Loan"); and (ii) an uncommitted facility of up to US$100 million to purchase the credits resulting from mobile phone sales (the "Facility").
The loan consists of the US$75 million funded by the IDB Group and the rest from mobilizing other funds, with a term of up to 7 years and a grace period of up to 2 years. The funds will be used to finance capital investments comprising (a) the expansion of geographic coverage and the capacity of mobile networks to respond to growing data traffic consumption; and (b) the deployment of fiber optic networks to offer better fixed broadband connectivity.
The Facility will be available for a period of up to 4 years. Under the Facility, IDB Invest will purchase, at its sole discretion, credits for the sale of mobile phones.
Telecom Argentina (hereinafter Telecom) is an existing client of the IDB Group and has been since 2017. It is a comprehensive telecommunications company providing mobile telephony, fixed telephony, fixed Internet, and cable television services in Argentina. Telecom has subsidiaries that provide mobile telephony and Internet services in Paraguay and Uruguay, and telecommunications services in the United States. Following its merger with Cablevisión S.A., Telecom has a client base of 29.7 million subscribers in Argentina as in December 2018.
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Contact information
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Client Contact
N/A
PHONE NUMBER
N/A
POST OFFICE ADDRESS
N/A
IDB Invest Contact
requestinformation@idbinvest.org
PHONE
+1(202)-566-4566
ADDRESS
1350 New York Ave NW, Washington, DC 20005
COUNTRY OFFICES
IDB Invest Country OfficesIndividuals or communities can submit complaints and concerns related to environmental, social, or corporate governance issues to the Management Grievance Mechanism by e-mailing mgm@iadb.org or by calling +1 202 312 4040.
As a last resort, affected communities have access to the IDB Invest Independent Consultation and Investigation Mechanism by writing to mecanismo@iadb.org or MICI@iadb.org or calling +1(292) 623-3952.
For inquiries, comments and information requests about the project
Request informationLearn more about how we provide private-sector solutions in the region .