Telecom bankers predict vendor financing will drive growth in Asia in 2013
Debt capital markets and vendor supported financing will be among the core drivers for telecoms financing deals in Asia next year, as operators look for new ways to raise capital.
Telecom and finance executives will discuss the key financing strategies and capital raising options for telecom operators across Asia, at the 4th annual TMT Finance & Investment Asia conference in Hong Kong at the JW Marriott Hotel on February 6, 2013.
“Vendor financing will be a significant growth driver across Asia,” said Amit Sinha Managing Director, Head of TMT, DBS Group, who will be speaking on the financing panel at the conference. “A lot of telecom operators are using vendor supported financing, rather than going to the long term bank financing market – and this trend is likely to grow across Asia in 2013.”
“Reasonably priced three to five years vendor financing options are available; this will continue to help support operators with the purchase of equipment and infrastructure in 2013,” he said.
For Asian operators wanting to raise finance from local and international markets, debt capital markets will also be an increasingly attractive option.
“Mature telecom operators in Asia with name familiarity with investors will be able to tap various rated and unrated debt capital markets. The low interest rate environment is also attracting issuers in telecom business to positively consider tapping debt capital markets,” said Sinha, who will be joined on the financing panel by leading telecom CFOs, investment bankers, and financiers from IFC, Tata Communications, Huawei, ANZ Banking Group and ING.
The financing panel will also discuss key themes such as: financing new business models; assessing credit risk, pricing trends and valuation predictions;
Mergers and acquisitions will also be a significant driver of telecom financing in 2013 and the TMT M&A Panel, leading investment bankers, provides another key session at the conference. Consolidation in Asia is predicted in Indonesia, Vietnam and Cambodia, where the telecom markets are especially overcrowded. New licence acquisition opportunities are also available, most notably in Myanmar.
The TMT Finance & Investment Asia conference, now in its fourth year, gathers telecom executives, investment bankers, specialist financiers and advisers from across Asia to assess new investment opportunities and strategies.
Register to attend at http://www.tmtfinance.com/