Summary of Proposed Investment
Project Number
7844
Company Name
FTML S.A.L.
Date SPI Disclosed
Nov 1, 1996
Country
Lebanon
Industry
Telecommunications and Technology
Status
Completed
Sector
Mobile Telephony
Department
WBG Digital and AI
Environmental Category
B - Limited
Previous Events
Approved : Mar 28, 1997
Signed : Jul 16, 1997
Invested : Feb 2, 1998
Project Description
Summary Of Project Information (SPI)
| Project Name | Lebanon - FTML |
| Expansion of the company’s cellular network in Lebanon. |
| Region | Central Asia, Middle East and North Africa |
Sector
Project No007844
Projected Board DateDecember 10, 1996
Company NameFrance Telecom Mobiles Liban S.A.L.
Technical Partner and/or Major Shareholders
France Telecom Mobiles International - 66.6%, the international cellular subsidiary of France Telecom, the main French telephone operator.
Groupe Mikati - 33.3%, a Lebanese group involved in telecommunications.
Project Cost Including proposed IFC investment
US$190 million project cost (over the 1996-98 period). IFC would provide for its own account a US$20 million senior A Loan, a US$10 million subordinated C Loan and would syndicate jointly with Societe Generale a US$70 million B Loan.
Location of project and Description of site
Lebanon - countrywide cellular network.
Description of Company and Purpose of Project
FTML was awarded one of two licenses to operate a cellular GSM network in Lebanon under a 10 year BOT contract in June 1994. During its initial two years of operations, the company experienced substantial market growth reaching a subscriber level of 95,000. FTML has embarked on an investment plan to improve quality of service, as the network has been strained by unusually high traffic patterns, and expand capacity to accommodate the fast growing demand for cellular services in Lebanon. Given its rapid growth, the company’s self financing ability is insufficient, and hence it has asked IFC to help raise the external financing.
Environmental Category and Issues
This is a category B project according to IFC''s environmental review procedure. Environmental issues associated with this project include: right-of-way alignment, access road construction, tower site selection, PCBs, solid and liquid wastes disposal, halons, fire prevention and general employee safety.
The is November 8, 1996 from the Public Information Center.
| Date SPI sent to PIC | November 1, 1996 |
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 676-0365
Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).
Sponsor / Cost / Location
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