RESTON, Va., Nov. 1, 2017 /PRNewswire/ -- NII Holdings, Inc. [NASDAQ: NIHD] today announced that its Brazilian operating subsidiary, Nextel Telecomunicações Ltda. ("Nextel Brazil"), signed amendments to its loan agreements with the China Development Bank, Banco do Brazil S.A. and Caixa Econômica Federal.
Among other changes, these amendments provide for the deferral of substantially all principal payments for the first 48 months from the date of effectiveness and a holiday for certain financial covenant compliance, including the net debt financial covenant, until June 30, 2020. When the amendments are effective, Nextel Brazil will be subject to minimum cash and minimum receivable requirements. The amendments provide for a loan maturity date 98 months from the date the amendments become effective. In connection with the amendments, Nextel Brazil will grant additional security interests to each of its bank lenders in the form of preferential rights to amounts held in certain of Nextel Brazil's bank accounts and will pledge certain of its equipment and property to these lenders.
The amendments are subject to approval by Sinosure and are not effective until such approval is received. The Company expects to receive Sinosure's approval on or before December 31, 2017, although there is no guarantee that such approval will be granted by December 31, 2017 or at all.
"The signing of the amendments marks a significant milestone in our efforts to improve our financial outlook and liquidity and will enable us to continue to invest in and grow our business in Brazil," stated Dan Freiman, Chief Financial Officer of NII Holdings. "We are actively working to obtain the final approvals necessary for the amendments to become effective."
About NII Holdings, Inc.
NII Holdings, Inc., a publicly held company based in Reston, Virginia, is a provider of differentiated mobile communication services for businesses and high value consumers in Brazil. NII Holdings, operating under the Nextel brand, offers fully integrated wireless communication tools with digital cellular voice services, data services and wireless Internet access. Visit the Company's website at www.nii.com.
Nextel, the Nextel logo and Nextel Direct Connect are trademarks and/or service marks of Nextel Communications, Inc.
Visit NII Holdings' news room for news and to access our markets' news centers: nii.com/newsroom.
NII Holdings, Inc.
1875 Explorer Street, Suite 800
Reston, Virginia 20190
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SOURCE NII Holdings, Inc.
Investor and Media Relations: Dan Freiman, (703) 547-5209, email@example.com