FTML Services Cellulaire Liban

completed

Summary Of Project Information (SPI)Project NameLebanon - FTMLExpansion of the company’s cellular network in Lebanon.RegionCentral Asia, Middle East and North AfricaSectorProject No007844Projected Board DateDecember 10, 1996Company NameFrance Telecom Mobiles Liban S.A.L.Technical Partner and/or Major Shareholders France Telecom Mobiles International - 66.6%, the international cellular subsidiary of France Telecom, the main French telephone operator. Groupe Mikati - 33.3%, a Lebanese group involved in telecommunications.Project Cost Including proposed IFC investment US$190 million project cost (over the 1996-98 period). IFC would provide for its own account a US$20 million senior A Loan, a US$10 million subordinated C Loan and would syndicate jointly with Societe Generale a US$70 million B Loan.Location of project and Description of site Lebanon - countrywide cellular network.Description of Company and Purpose of Project FTML was awarded one of two licenses to operate a cellular GSM network in Lebanon under a 10 year BOT contract in June 1994. During its initial two years of operations, the company experienced substantial market growth reaching a subscriber level of 95,000. FTML has embarked on an investment plan to improve quality of service, as the network has been strained by unusually high traffic patterns, and expand capacity to accommodate the fast growing demand for cellular services in Lebanon. Given its rapid growth, the company’s self financing ability is insufficient, and hence it has asked IFC to help raise the external financing.Environmental Category and Issues This is a category B project according to IFC''s environmental review procedure. Environmental issues associated with this project include: right-of-way alignment, access road construction, tower site selection, PCBs, solid and liquid wastes disposal, halons, fire prevention and general employee safety.The is November 8, 1996 from the Public Information Center.Date SPI sent to PIC      November 1, 1996For Additional Information contact: Corporate Relations Unit -telephone: (202) 473-7711facsimile: (202) 676-0365Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).