InfraCredit Completes Drawdown of AfDB USD$ 10 million Subordinated Unsecured 10-year Facility


Tuesday, September 15, 2020 / 05:00PM / InfraCredit / Header Image Credit: InfraCredit & AfDB


InfraCredit, a 'AAA' rated specialised infrastructure credit guarantee institution, is pleased to announce the drawdown of US$10 million subordinated unsecured 10-year facility has been completed under the Subordinated Loan Agreement with the African Development Bank ('AfDB' or 'the Bank'), an international financial institution and multilateral development bank.


According to a statement by Stefan Nalletamby, the Bank's Director of Financial Sector Development at the time of the Bank's Board approval of the facility, "The Bank's support will strengthen the capital base of InfraCredit, underpinning the expansion of the Company's core business of guaranteeing of bonds issued to fund infrastructure projects. This adds to the Bank's existing initiatives to mobilize domestic institutional savings and stimulate non-sovereign local debt capital market development in Nigeria. This ultimately helps to increase private sector financing for critical infrastructure projects in key sectors including energy, agriculture, water, health and education, through local capital markets".


Specifically, this facility will help to increase private sector financing for critical infrastructural projects in sectors such as power, renewable energy, telecommunications, healthcare, transportation, agriculture, amongst others. This investment by AfDB demonstrates the strong investor confidence in the fundamentals of InfraCredit's business and will promote the deepening of the local debt capital market. Pursuant to the drawdown, InfraCredit's capital base will increase to $146 million (c. NGN 58.5 billion).


According to the Chief Executive Officer of InfraCredit, Chinua Azubike, "Despite the impact of COVID-19, and changes to macro-economic assumptions, we are pleased to have reached yet another milestone in our pursuit to strengthen our robust balance sheet and guarantee issuing capacity. Notwithstanding challenging market conditions, we have continued to demonstrate our strong fundamentals, solid underlying portfolio performance, proven track record and profitability.  With the admission of AfDB to our capital structure, we are confident of our continuing ability to deepen market penetration and support access to long term domestic credit for the growing pipeline of infrastructure projects that will create jobs and support local economic growth".


 Proshare Nigeria Pvt. Ltd.

Related News

1.      TSL SPV Plc - Up to N12bn Series 1 Infrastructure Bonds Guaranteed by InfraCredit Now Open

2.     Agusto and GCR Affirm ''AAA'' Long Term Credit Rating of InfraCredit With Stable Outlook

3.     Supporting Public Private Partnerships in Africa: AfDB Ready to Scale Up

4.     C and I Leasing Plans Capital Raise In H2 2020

5.     Access Bank Signs $93.8m Syndicated Loan

6.     Nigerian Oil-Services Firm Japaul Seeks $70m to Switch to Mining

7.     HMARKINS Lists Additional Shares Arising from Rights Issue of 2.03bn Ordinary Shares

8.     Prestige Assurance Plc 13.64bn Rights Issue Opens

9.     CILEASING Lists Additional Shares Arising from Rights Issue of 539,003,333 Ordinary Shares

10.  eTranzact International Plc Rights Issue of 4.67bn Shares Opens

11.   Transcorp Hotels Submits an Application for the Approval and Listing of a Rights Issue of 2.65bn

12.  Transcorp Hotels Gets Shareholders' Approval to Raise N10bn through Rights Issue

13.  AIICO Submits an Application for the Approval and Listing of a Rights Issue of 4.36bn

14.  UAC-PROP Lists Additional Shares Arising From Rights Issue of 15,961,574,145 Ordinary Shares

15.  The End of the IPO as we Know It - OpEd 


Proshare Nigeria Pvt. Ltd.

Proshare Nigeria Pvt. Ltd.

Related News