Bharti Said to Plan Agreement on $8.5 Billion Loan This Week

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Bharti Airtel Ltd. plans to agree to terms with banks this week for an $8.5 billion loan that would help it buy most of Zain’s African assets, according to two people with direct knowledge of the matter.

Bharti, India’s biggest wireless operator, is seeking a six-year loan with an average life of 4.75 years, said the people, who declined to be identified as the details are private. The New Delhi-based company may pay interest of 2 percentage points more than the London interbank offered rate, they said.

Zain, Kuwait’s biggest phone company, said on Feb. 15 that it entered exclusive talks to sell Bharti its African operations, excluding those in Morocco and Sudan, for $10.7 billion including assumed debt. The exclusive talks will continue until March 25, the companies said.