Debt breathing space for Virgin Media

Debt breathing space for Virgin Media

October 15, 2016

Multimedia telecoms provider Virgin Media has found a bright side to the credit crunch: breathing space to pay off its £4.3 billion debts.

Virgin Media’s ten main lenders have agreed that the company’s debt – accrued when NTL laid fibre optic cables across the UK in the 1990s – can be held off until 2012.

Under previous agreements Virgin – one of the most debt-laden telecoms companies in Europe – was to start paying back its loans in 2018.

The company said the changes will allow it to work out a comprehensive repayment plan for the debt without having to sell any of its businesses.

CEO Neil Berkett said if the plans get full approval, the Virgin will be able to generate more cash flow, further increasing its ability to pay off the debt.

He added that the amended repayment date benefits shareholders, customers, lenders and employees.

News of the reprieve sent Virgin shares soaring by as much as 25% to $6.59 on the Nasdaq stock exchange.

Tim Yeo

Related Posts

Mimecast announces senior appointments

Comments Off on Mimecast announces senior appointments

SMS blood donor initiative in Portugal

Comments Off on SMS blood donor initiative in Portugal

New fibre test products from Fluke Networks

Comments Off on New fibre test products from Fluke Networks

UK’s internet infrastructure at risk from future flooding

Comments Off on UK’s internet infrastructure at risk from future flooding

LG aims to boost market share in recession

Comments Off on LG aims to boost market share in recession

Vodafone store to sell mobile apps

Comments Off on Vodafone store to sell mobile apps

CHT chairman takes ‘early retirement’

Comments Off on CHT chairman takes ‘early retirement’

UK reaches 6 million unbundled broadband lines

Comments Off on UK reaches 6 million unbundled broadband lines

3G Femtocell Developer Kit Available From ip.access

Comments Off on 3G Femtocell Developer Kit Available From ip.access

PageOne launches MoodleMobile plug-in

Comments Off on PageOne launches MoodleMobile plug-in

Internet essential for most people, Broadband Forum

Comments Off on Internet essential for most people, Broadband Forum

Nokia plans to transform travel guides

Comments Off on Nokia plans to transform travel guides

Create Account



Log In Your Account