Reliance Jio takes $1 bn term loan to pay Korean vendors

Reliance Jio today secured a USD 1-billion worth of term loan from a slew of foreign banks led by ANZ Bank and HSBC and covered by the Korea Trade Insurance Corporation (K-Sure) to finance its procurements from Samsung and Ace Technologies.

The term loan, the fourth for the Reliance Industries in the past five years and the second covered facility for Jio in the past three years, was arranged on June 22, the company said in a statement.

"The term loan facility will be used to finance goods and services procured primarily from Samsung and Ace Technologies," Jio said.

The loan has door-to-door tenor of 10.75 years, and is the largest deal in the country as well as the largest deal supported by it in the telecom sector globally, it said.

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The facility was arranged by Australia & New Zealand Banking Group, HSBC, BNP Paribas; Commerzbank, Citibank, ING Bank, JPMorgan Chase Bank, Mizuho Bank, MUFG Bank, and Banco Santander.