Eskom secures a R15bn loan

Eskom also announced that it had already secured 30% of its funding for the 2019/2020 financial year. (Bloomberg)

Eskom also announced that it had already secured 30% of its funding for the 2019/2020 financial year. (Bloomberg)

Debt-laden Eskom has secured a R15-billion loan.

In a statement on Friday, Eskom announced that it had secured the loan through a consortium of local and international banks.

Eskom currently has a debt burden of almost R420-billion, and the new loan will go, in part, towards the utility’s current capital expenditure programme.

READ MORE: Eskom aims to shed its debt load

According to Eskom’s Andre Pillay, the utility has secured approximately 95% of the R72-billion funding required for the current financial year.

The remaining 5%, Pillay said, would be raised “through various funding sources including domestic debt capital markets”.

Eskom also announced that it had already secured 30% of its funding for the 2019/2020 financial year.

The utility’s group chief executive Phakamani Hadebe said the R15-billion loan showed that “financial markets continue to view Eskom in a positive light.”

Gemma Ritchie

Gemma Ritchie

Gemma Ritchie works in the Mail & Guardian's online department. She majored in English Literature at a small liberal arts college in the USA.  Read more from Gemma Ritchie

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