Standard Bank secures Helios financing

Standard Bank Group has announced the successful completion of a senior secured syndicated financing worth $85 million for Helios Towers Tanzania Ltd.

The financing is the next phase of the network of telecommunications towers across Tanzania for Helios Towers Tanzania Ltd,a subsidiary of Helios Towers Africa Ltd.

The financing attracted strong and broad-based interest from several local and international financial institutions. The lending syndicate demonstrated the ability of African banks to finance large and cross-border transactions and included the following institutions: 

* Stanbic Bank Tanzania Limited and Standard Bank of South Africa as Joint Initial Mandated Lead Arrangers; 

* Emerging Africa Infrastructure Fund as Mandated Lead Arranger; 

* Investec Bank as Mandated Lead Arranger; 

* National Micofinance Bank Plc as Mandated Lead Arranger; 

* Bank of Africa Tanzania Limited as Lead Arranger; 

* International Commercial Bank (Tanzania) Limited as Lead Arranger; 

Standard Bank Plc acted as Sole Bookrunner and Facility Agent. 

Tanzania, with more than 21 million mobile subscribers as of September 2011 is a top ten mobile market in Africa and one of the continent's fastest growing wireless markets; its current subscriber penetration is estimated to be 46% and is expected to grow to 66% by 2015. Tower sharing is a fast growing subset of the mobile telecommunications sector in Africa, bringing significant capital expenditure and operating cost savings for mobile operators that can be passed onto consumers who benefit from improved network quality and enhanced coverage. 

Commenting, Charles Green, CEO for HTA, said: "HTA is delighted to complete this financing in Tanzania, which demonstrates our commitment to developing successful independent tower companies across the African continent. We thank Standard Bank for their continuous support - this is the second financing that Standard Bank has led for HTA, having been a joint Mandated Lead Arranger for US$40 million of senior secured term loan facilities to support HTA's expansion in Ghana. The facility in Tanzania will help us to deploy further tower sharing solutions across the country, benefiting both the population and the environment." 

Nina Triantis, Standard Bank's Global Head of Telecoms and Media, added: "Standard Bank is delighted to have arranged a finance package for HTT, the leading independent tower company in Tanzania. This success demonstrates once again our continued support to infrastructure development in Africa through our superior understanding and serving of the needs of our clients due to our sector knowledge and our ground presence in 17 sub-Saharan countries." 

Bashir Awale, Stanbic Bank Tanzania Managing Director, said: "This transaction again demonstrates Stanbic Bank Tanzania's capability to provide funding for the right projects such as infrastructure development. As a lead co arranger, we have demonstrated once again our ability to mobilize funds from local financial institutions with whom we enjoy strong relationships. Our experience in Investment Banking and local knowledge of the Tanzanian market allows us to successfully execute highly structured transactions. A special thanks to National Micofinance Bank Plc, Bank of Africa Tanzania Limited and International Commercial Bank (Tanzania) Limited who have come in as original lenders on the local tranche."