Vivendi issues bonds to repay NBC debt

21st January 2005, Comments 0 comments

PARIS, Jan 21 (AFP) - Vivendi Universal, the French media and telecommunications group, said Friday it had issued EUR 600 million (USD 780 million) in bonds to repay debt owed to US firm NBC Universal.

PARIS, Jan 21 (AFP) - Vivendi Universal, the French media and telecommunications group, said Friday it had issued EUR 600 million (USD 780 million) in bonds to repay debt owed to US firm NBC Universal.

Vivendi holds a 20 percent stake in NBC Universal, which was created in May 2004 in the merger of General Electric's NBC television company and Vivendi Universal Entertainment, Vivendi's US entertainment assets. V

ivendi said the seven-year bonds would mature on February 15, 2012, with a coupon value of 3.875 percent.

The bonds were sold at a discount that will provide an overall yield of 3.905 percent for investors.

The proceed of the issue will be used to repay "at no penalty" the EUR 600 million contracted with NBC Universal in May 2004 that is due to expire by May 2007, the French company said.

"This new bond issue will enable Vivendi Universal to pay down the remainder of its secured debt, and will extend the average maturity of the group's debt at no extra cost," the company said.

© AFP

Subject: French News

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