(Updates with loan agent, signing date in third paragraph.)
Feb. 22 (Bloomberg) -- Enel SpA signed a 3.2 billion-euro ($4.2 billion) loan to refinance debt, exceeding the Italian power company’s original target by more than 1 billion euros, according to a person familiar with the transaction.
The self-arranged, five-year term loan was provided by 25 banks and pays interest of 3 percentage points more than the euro interbank offered rate, said the person, who declined to be identified because the terms are private.
The borrowing was increased from 2 billion euros after lenders offered more than Rome-based Enel sought, three people with knowledge of the deal said yesterday. Italian lender Mediobanca SpA acted as agent on the deal that was signed Feb. 20, two of the people said.
Proceeds of the loan will refinance the remainder of a 35 billion-euro financing signed in 2007 due in April. A basis point is 0.01 percentage point.
Enel has investment-grade rankings of A- from Standard & Poor’s and Fitch Ratings, and an equivalent A- from Moody’s Investors Service rates.
--With assistance from Esteban Duarte. Editors: Chapin Wright, Faris Khan
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