UPDATE 2-Spain's Prisa closes loan refinancing

(Rewrites with Prisa statement)

MADRID, July 18 (Reuters) - Spanish media group Prisa (PRS.MC: Quote, Profile, Research, Stock Buzz) confirmed on Friday it had agreed the refinancing of a 2 billion euros ($3.17 billion) bridge loan with banks to fund its buyout of pay-TV arm Sogecable.

Earlier a source close to the operation told Reuters the refinancing agreement had been closed.

In a statement to the Spanish stock market regulator, Prisa said a condition of the financing was that it secure 500 million euros through other financial instruments, however.

Once finalised, the bridge loan will be extended until March 31, 2009.

At 1124 GMT Prisa shares were up 0.85 percent to 5.93 euros. (Reporting by Robert Hetz and Tracy Rucinski; Editing by Quentin Bryar)