Dialog 2021 (IFC-46205)

Regions
  • South Asia
Geographic location where the impacts of the investment may be experienced.
Countries
  • Sri Lanka
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Active
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Jun 29, 2022
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
DIALOG AXIATA PLC
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Communications
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 150.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Loan Amount (USD)
$ 150.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ IFC website

Updated in EWS Nov 3, 2022

Disclosed by Bank Jun 23, 2022

Contribute Information
Can you contribute information about this project?
Contact the EWS Team

Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to IFC, the proposed investment is a US$150 million loan to Dialog for refinancing existing loans and to support the company’s capex program, including 4G roll-out, which is mainly putting new equipment on existing and future sites, fiber roll-out, radio and core network upgrades, software, IT Network expansions, and Spectrum expansion (the “Project”). This is an IFC repeat investment in Dialog Axiata; the previous investment (# 25747) was in 2007 and closed in 2018.Dialog currently has around 4000 telecom towers, out of which around 40 percent (~1600) are shared towers owned by other operators. The company has plans for additional 300-400 towers which are still in planning stage (either directly or preferably sharing existing towers of other operators). The new investment does not include any new submarine cable construction or extension.Dialog has multiple subsidiaries, including Dialog Network Services (DNS), which provides Dialog with services related to telecom network development, upgrades, operations, and maintenance.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.
Private Actor Relationship
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

Dialog is majority owned (83%) by the Axiata Group Berhad based in Malaysia, while the remaining shares are listed on the Colombo Stock Exchange.

Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

Dialog Axiata PLC (Dialog, or the Company) is Sri Lanka’s leading mobile network operator and is listed on the Colombo Stock Exchange. Dialog operates primarily within Sri Lanka and has offerings in mobile & fixed telephony, broadband, satellite television, infrastructure services and other digital services. As of 2021, Dialog had a total of 17.7 million mobile subscribers (representing approximately 51% market share) and has achieved a 4G mobile population coverage of 95% and a 4G fixed broadband population coverage of 71%.

 


Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

Dialog Axiata PLC
Mr. Hashan Senanayake
Unit Manager – Group Corporate Finance
+94 777 080748 / +94 777 332052
ir@dialog.lk
No 475, Union Place, Colombo 02
Websitewww.dialog.lk

ACCESS TO INFORMATION

You can submit a request for information disclosure at: https://disclosures.ifc.org/#/inquiries

If you believe that your request for information from IFC has been unreasonably denied, or that this Policy has been interpreted incorrectly, you can submit a complaint at the link above to IFC's Access to Information Policy Advisor, who reports directly to IFC's Executive Vice President.

ACCOUNTABILITY MECHANISM OF IFC/MIGA

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org

How it works

How it works