2 Aug 2013

Chorus gets further debt facility

7:35 pm on 2 August 2013

Chorus has secured further debt facilities, which the company says will support its funding needs to rollout of the ultra fast broadband over the next six years.

The telecommunications network company has agreed a new $250 million bank facility, which it will use to pay down debt from its existing facility.

The listed company says the new deal is on similar financial terms as its existing one, but extends it until 2019.

The current arrangement consists of two equal amounts of $675 million due to mature in 2015 and 2017.

Chorus's stock has been hit by concerns over increasing costs to build the ultra-fast broadband network, and uncertainty about how quickly people and firms will shift to the new fibre network.

Shares in Chorus are up 5 cents to $2.75 each.