BSkyB has signed a new, five year, £600 million credit facility which is being used to cancel its existing £750 million facility, the group said today.
The satellite broadcaster says that total available facilities are now valued at £800 million. This will reduce to £600 million from June 2004, in line with the anticipated reduced capital requirements of the company, which has been cashflow positive since January 2002.
Separately, BSkyB’s parent company, Rupert Murdoch’s News Corporation, has announced plans to issue a bond exchangeable for shares in the satellite group. This will raise $1.35 billion and will be used by News Corp for ‘general corporate purposes’ (see News Corp To Raise $1.35 Billion By Remortgaging Sky Stake).
