Ecobank Transnational Incorporated (ETI), parent of the leading pan-African Ecobank Group, opened the market at the London Stock Exchange to celebrate the successful issuance of its $400 million Senior Unsecured Eurobond on the London Stock Exchange main market. In a statement, the Group said it will use the net proceeds from the issuance of the Notes for general corporate purposes, including refinancing the $350 million Senior Bridge-to-Bond Loan Facility entered into in March 2024. Speaking to this, Jeremy Awori, CEO, Ecobank Group, said “our successful Notes issuance demonstrates how Ecobank is blazing the trail for sub-Saharan African financial institutions and corporates in accessing the international capital markets. The Notes are ETI’s third issuance on the international bond markets and the first public Eurobond issuance by a financial institution in sub-Saharan Africa since 2021.
“With the bond more than 2.1 times oversubscribed, the strong demand demonstrates international and African investors’ approval and trust in the progress of our Growth, Transformation, and Returns Strategy.” The Notes, which mature in October 2029, pay interest of 10.125%, payable semi-annually in arrears. Also, Ayo Adepoju, Chief Financial Officer, Ecobank Group, commented, “We really appreciate the support and partnership from Absa, Africa Finance Corporation, African Export-Import Bank, Mashreq, and Standard Chartered Bank, who acted as Joint Lead Managers and Joint Bookrunners, and Renaissance Capital Africa, who served as the Financial Adviser for the transaction. We deeply value and appreciate the strong support from our Development Finance Institution partners, including the Africa Finance Corporation, Proparco, and the Eastern and Southern African Trade and Development Bank, who helped anchor the transaction.
“We also thank our bond investors for their ongoing support of ETI and look forward to continuing our engagement and working together to successfully execute our business strategy.” ETI will use the net proceeds from the issuance of the notes for general corporate purposes, including refinancing the $350 million Senior Bridge-to-Bond Loan Facility entered into in March 2024.