Shares of debt-strapped media and utility conglomerate
were higher Wednesday morning after the company lined up a new $3 billion loan from a syndicate of 11 banks.
The loan replaces a $1 billion loan negotiated two months ago and provides much-needed breathing room during which the company can attempt to fashion a strategy to get out from under some $20 billion in debt.
The loan will be shown to a larger group of creditors Wednesday and comes ahead of a board meeting next week in which Vivendi chief Jean-Rene Fourtou will outline a long-term plan to unload the company's water utility.
The shares were up 5.4% to $13.56 on the Instinet premarket.