Zed secures €92.5m credit agreement for expansion

Mobile content retailer Zed has announced a new credit agreement with five banks for a total of €92.5 million (about $144 million).

The agreement is with four Spanish banks Banesto, BBVA, Banco de Sabadell and Caja Madrid and one international bank, Internationale Nederlanden Groep. It lasts until 2013.

Zed CEO Javier Pérez Dolset (pictured) says the loan will fuel the company's expansion plans.

"The main objective of this loan is to finance the expansion plans of the company and give a significant boost to our mergers and acquisition policy," he says, adding that it's a sign that Zed's aggressive growth strategy is finding favour despite the global credit crunch.

Zed clearly feels it necessary to agree a credit agreement of this size, rather than fund its acquisition plans from organic growth a strategy that may raise eyebrows considering the company was boasting about its $100 million monthly revenues as recently as last September.