WATCH THE VIDEO HERE Eurobond worth $125 million was recently sold to investors cutting across Africa, the United Kingdom, Europe, the United States, Asia, and the Middle East by Ecobank Transnational Incorporated (ETI). The debt instrument was issued by the financial institution at an improved yield of 9.375 per cent. It is part of the company’s $400 million 10.125 per cent notes due October 15, 2029 and will be consolidated and form a single series. Business Post reports that the net proceeds from the issuance of the paper will be used for general corporate purposes primarily to refinance upcoming debt maturities. A statement from the firm disclosed that investor demand was robust, achieving a final orderbook oversubscription rate of more than 2x, with strong participation from asset managers, banks, and development finance institutions. The joint lead managers and joint bookrunners for the exercise were Absa, Africa Finance Corporation, African Export-Import Bank, Mashreq, and Standard Chartered Bank, while the financial adviser was Renaissance Capital Africa, with Ecobank Development Corporation as the co-manager. “This successful tap further strengthens ETI’s financial position in line with its strategic objectives and reflects the institution’s commitment to proactively manage its balance sheet by diversifying funding sources and extending the average debt maturity profile of the group,” the Chief Financial Officer of ETI, Mr Ayo Adepoju, said. Also, the chief executive of the firm, Mr Jeremy Awori, said, “We are encouraged by the strong support received from international investors, which underscores their continued belief in Ecobank’s resilience and progress in executing our Growth, Transformation and Returns (GTR) strategy. This tap enhances our financial flexibility and further reinforces our presence in the global capital markets.”
Asset Managers, Others Mop up Ecobank $125m Eurobond
