Verizon Communications Inc. set the rate on $14 billion of loans it's seeking to back its purchase of a stake in its wireless unit from Vodafone Group Plc, according to a person with knowledge of the transaction.

A $6 billion term loan due in three years will pay interest at 1.375 percentage points more than the London interbank offered rate (Libor), while a $6 billion term loan maturing in five years will have a rate of 1.5 percentage points more than Libor, according to the person, who asked not to be identified because they are not authorized to speak publicly.

The financing, being arranged JPMorgan Chase & Co., Morgan Stanley, Bank of America Corp., and Barclays Plc, also includes a $2 billion revolving credit line that will pay interest at 1.25 percentage points more than the benchmark borrowing rate.

Continue Reading for Free

Register and gain access to:

  • Thought leadership on regulatory changes, economic trends, corporate success stories, and tactical solutions for treasurers, CFOs, risk managers, controllers, and other finance professionals
  • Informative weekly newsletter featuring news, analysis, real-world case studies, and other critical content
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the employee benefits and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.