Virgin Media launches refinancing process

Cable operator Virgin Media has entered into a new £2bn (€2.2bn) senior loan. The UK company will use it to refinance and extend the maturity of existing loans from 2012 to 2015, according to news agency Reuters quoting banking sources.

The loan includes a £1bn term loan A, a term loan B of up to £750m and an undrawn £250m revolving credit. Virgin Media will use the term loan A and term loan B facilities to repay its £1.55bn existing loans. The operator said the undrawn revolving credit will be used to finance working capital requirements and general corporate purposes.