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Magyar Telekom takes $229 mln loan

Magyar Telekom Rt, eastern Europe's second-largest phone operator, said it took out a loan of $229 million from the European Investment Bank to finance the development of its broadband lines.

Magyar Telekom will repay the loan, which matures in January 2013, in five equal installments with a grace period of two years, the Budapest-based company said in a stock exchange statement today.

The loan's variable interest rate is based on the three-month Budapest Interbank Offered Rate or BUBOR, which stands at 6.17 % today.

(BBJ 15.i.06)

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