A company FORTIS, issued a 5 years loan with a gloating rate EURIBOR + 0.75%. It sets up a fixed / variable swap with a bank. The quotation of the swap is as follows: 5-year swap: EURIBOR /3.75%.

What is the cost of borrowing of this company after swap?

a. 0.75% b. 4.5% c. EURIBOR + 4.5% d. None of the above