Middle East pay-TV operator OSN has secured a US$400 million financing facility to bolster its sports content and over-the-top (OTT) technology platforms, among other expansion plans.

The unsecured five-year facility, from a syndicate of 11 international and regional banks, was almost two times over-subscribed, according to OSN. It includes a term loan of US$255 million and revolving credit facility of US$145 million. The term loan is repayable on a quarterly basis in equal instalments.

Barclays Bank PLC, BNP Paribas and Mashreq Bank PSC are the lead arrangers and book runners, with National Bank of Kuwait, Citibank UAE, Commercial Bank of Dubai, First Gulf Bank PJSC, HSBC Bank Middle East Ltd, Société Générale, JP Morgan Chase Bank and Credit Suisse AG completing the syndicate.

Closing the financing facility takes advantage of favorable market conditions to drive the pay-TV operator's expansion plans and "is an acknowledgement of the financial strength and the banking community's confidence in OSN's business model," claimed David Butorac, CEO, OSN .

He added: "In the past months, OSN has introduced several industry-first initiatives and signed international partnerships for exclusive and first-access to premium content. The new facility will enable us to invest in even more innovative and exclusive sports, entertainment and factual content, develop new advanced technology platforms, gain stronger market share and create long-term value for our shareholders, partners and customers."

The financing facility, which will provide liquidity and free cash flow, also enables OSN to consider acquisitions to increase its content offering, the pay-TV company said in a statement.

Securing the $400 million facility follows OSN's first syndicated five year financing facility for $200 million closed in 2013 with Mashreq Bank PSC as the sole mandated lead arranger, book runner and underwriter for the syndication.