Under the deal, Du, the UAE's second largest mobile operator, with a cellular subscriber base of 3.48 million at December 31, 2009, will get
vendor financing from Nordea Bank for the purchase of NSN equipment to enhance and expand its 2G network infrastructure with new base station sites and associated technologies, the Dubai-based telecom firm said.
Despite this,
vendor financing has become more common over the past year, it is estimated around one in four mid-market deals now vendor-financed compared with about five per cent a couple of years ago.
Two weeks ago the judge ruled that Motorola had been a victim of a fraud centering on supply agreements and
vendor financing from the US firm to Telsim TL, the Turkish mobile phone operator owned by the Uzans, and other Uzan-owned firms.
So far the UK network has cost between 50million and 200million and, as the primary equipment provider, Nokia has supplied 82million of the
vendor financing for the UK and Germany.
Under terms of the all-cash agreement, which does not include
vendor financing, Lucent will install an all-digital wireless network based on Code Division Multiple Access (CDMA) technology in MetroPCS' 14 wireless markets, including Atlanta, San Francisco, Sacramento, Miami and Ft.
Telecom-equipment suppliers extended billions in
vendor financing to aggressive start-ups and wireless companies.
The company is looking to take on an additional $300 million in long-term debt, says Pegaso Chief Financial Officer Juan Marco Gutierrez, but the bulk of the money is coming from
vendor financing with Qualcomm and Alcatel, who together are providing $580 million to cover all equipment needs.
These alternatives include brokerage firms, credit card companies and
Vendor financing specialists.
For successful project-finance structures, many companies must rely on a melange approach -- that is, a blend of sponsor equity, local borrowing, MFI participation, Export Credit Agency (ECA) involvement,
vendor financing, international debt/equity financing, derivative products to hedge exposures and so on.
On the occasion of the signing of the agreement, the officials of the companies commented, Erste Group has been investing in Central and Eastern Europe for almost two decades now and has seen a growing demand in leasing and
vendor financing. The overall estimated potential of this market is above 17 billion euros.
The Company is a provider of
vendor financing, partnering with manufacturers, distributors, resellers, and franchise organizations to finance the equipment and technology purchases of their small business customers.
Bloomfield Hills, Michigan-based TIP Capital has an expertise in providing equipment finance and asset management solutions, especially in flexible
vendor financing programmes.
