Q & Pegaso>
Mexico's Pegaso Gets $100 Mln Loan to Finance Phone Network
Mexico's Pegaso Gets $100 Mln Loan to Finance Phone Network
Mexico City, March 25 (Bloomberg) -- Mexican wireless telephone provider Pegaso PCS SA said it
got a $100 million loan to finance the expansion of its digital network.
The loan, which is guaranteed by Pegaso's equipment provider Qualcomm Inc., completes the
company's financing needs of about $1.1 billion to build the first stage of its telephone system.
Pegaso, which is 33 percent owned by San Diego-based Leap Wireless International Inc., plans
to expand its network this year to Monterrey, Guadalajara and Mexico City after starting
commercial operations in Tijuana last month.
The financing reflects the strength of the company and the confidence foreign investors have in
Mexico, Alejandro Diez Barroso, Pegaso's chairman, said in a statement. The company gave no
further details about the financing.
Pegaso has additional financing from Qualcomm, in the form of an equipment-supply agreement
for about $600 million, and has a financing agreement for about $270 million worth of equipment
with France's Alcatel SA. Grupo Televisa SA, the largest broadcaster in Mexico, also has a stake
in Pegaso.
NYSE/AMEX delayed 20 min. NASDA |
