The company yesterday announced a US$408 million syndicated funding agreement, led by Citigroup in New York, for its aggressive expansion strategy in the region.

The agreement includes US$120 million in (new) debt capital to fund the growth and acquisition strategy of the company which was launched in 2001.

Chairman Denis O'Brien said the company had also streamlined its corporate structure, including restructuring debt and completing the buyout of minority equity holders, including the Inter-national Finance Corporation, through a bond offering partially tied to the Jamaican and Trinidad and Tobago capital markets.

"This is a most significant milestone for Digicel," he said in a statement.  "We are now strategically positioned to move to the next phase of our expansion.

"The syndicated funding which Citigroup has led, involves major banks across the globe, and it signals the exciting growth opportunities which exist for Digicel in an increasing number of rapidly developing markets."

Julie Siskind, Citigroup's senior officer for the financing, said: "This transaction provides Digicel with a financial profile that allows it to invest further in its existing operations as well as execute further expansion plans throughout the region.

WELL RECEIVED

"The transaction was very well received by both international and regional investors in recognition of Digicel's impressive performance," stated Ms. Siskind.

Digicel operates in seven regional countries ­ Aruba, Barbados, the Cayman Islands, Grenada, Jamaica, St. Lucia, and St. Vincent and the Grenadines ­ and is the region's largest GSM mobile operator with an average market share of 60 per cent.

With a workforce of more than 1,000 persons, Digicel has enjoyed rapid growth by aggressively winning significant market share in every country it has entered.

It is also the lead sponsor of Caribbean sports teams, including the West Indies cricket team, Special Olympics, and is title sponsor of the Digicel Caribbean Football Union Cup, involving more than 30 Caribbean countries, a qualifier towards the CONCACAF Gold Cup.

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