Feb 19 (Reuters) - Singapore Telecommunications Ltd (SingTel) is finalising a S$1.8 billion ($1.43 billion) loan with a group of local and international banks, Basis Point, a Thomson Reuters publication, reported on Wednesday.
The new three-year facility will be structured as a revolving credit loan which means that it will allow SingTel to draw down at any point in time and use the proceeds for general corporate purposes, including acquisitions.
The refinancing plan, which was first flagged by Basis Point last month, comes amid news that Singapore Temasek Holdings Pvt Ltd is seeking to sell its $3.1 billion stake in Thai telecom company Shin Corp and has approached its SingTel unit as a possible buyer.
Basis Point said Bank of America Merrill Lynch, Bank of Tokyo-Mitsubishi UFJ, Citigroup, DBS Bank and HSBC are among the 10 or so existing lenders involved in the three-year refinancing.
The new loan has been close to 50 percent oversubscribed with pricing said to be in the 40 to 50 basis point range on an all-in basis, Basis Point reported quoting sources.
The deal is expected to be closed before the end of March.
SingTel has a S$2.16 billion three-year revolving credit due this June, Basis Point reported.
($1 = 1.2609 Singapore dollars)
Reporting by Sharon Klyne and Kane Wu of Basis Point; Editing by Matt Driskill