Stock & Analyst Updates | |
Stock & Analyst Updates | |
4022 VIEWS | |
![]() |
Thursday, June 6, 2019 02:15PM / NSE
Ecobank
Transnational Incorporated, ETI, the Lomé-based parent company of the Ecobank
Group, announces that it has successfully tapped the international capital
markets for an additional $50 million in Eurobonds (the “Bonds”) due April
2024. The Bonds will be consolidated and form a single series with the $450
million 9.5% issued in April 2019 and due in April 2024.
This tap
issuance was launched as a RegS 5-year USD denominated senior unsecured bond
offering. It was oversubscribed by over 4.6 times. The issue price is 104.915%
of the principal amount reflecting a yield of 8.25%, a solid improvement from
the yield of 9.75% for the initial issue.
The
proceeds will be used for ETI’s general corporate purposes and will further
strengthen the liquidity of ETI. The transaction is in line with ETI’s
strategic objectives and forms part of the proactive management of its balance
sheet to diversify funding sources and extend the average debt maturity
profile.
The Bonds
have been placed with a broad range of institutional debt investors across
Europe and Africa. Both Standard and Poor’s and Fitch have confirmed credit
ratings of B and B- Stable respectively to this tap issue, in line with ETI’s
corporate rating.
Mr. Ade
Ayeyemi, Group Chief Executive Officer of ETI, stated: “As investor appetite
deepens for emerging market offerings, we are positioned to offer the value
that global investors seek. Our ability to open Africa to the world makes us a
compelling choice. We appreciate the trust vested in us in continuing to build
a strong independent African institution; a force for economic development in
all of our operating markets.”
The
acting Group Chief Financial Officer, Mr. Ayo Adepoju, also commented on the
issuance saying: “The success of this tap which was more than four times
oversubscribed, confirms ETI as an attractive investment for fixed income
investors. We are pleased with the performance of the initial issue on the
secondary markets and the increasingly competitive terms we have been able to
achieve with this tap, as evidenced by a 150- basis point reduction in yield.”
Visit Ecobank Transnational Incorporated IR Page in Proshare MARKETS
Graph 1: Ecobank Transnational Incorporated – One Year Share Price
Movement
Table: Unaudited Q1 2019 Results
Related News
1.
ETI Issues a
5-Year $50m Senior Unsecured Bond Offering
2.
ETI Stocks Soar
As Foreign Portfolio Investors Return To Market
3.
ETI Declares N29.66bn PAT in Q1 2019
Results,(SP:N10.45k)
4.
ETI Announces
Board Changes:Appoints Dr. Aasim Qureshi; Mr. Al Khalifa and Dr. Daniel Matjila
Depart
5.
Greg Davis
Resigns as Ecobank CFO; Appoints Ayo Adepoju in Acting Capacity
6.
ETI Successfully
Raised $450m Via Its Debut Eurobond
7.
Ecobank Launches
New 5-Year Eurobond at 9.75% Re-Offer
8.
ECOBANK Notifies
of the Company’s 31st Annual General Meeting
9.
ETI Declares
N102.17 bln PAT in Q4'18 Results,(SP:N13.20k)
10. Nedbank’s 2018
Results Preview Ecobank Expectations; Cue Waiting Game
11. Ecobank
Transnational Incorporated Announces The Appointment of Arunma Oteh To Its
Board of Director
12. Ecobank Responds
to Wrongful Allegations
13. ETI Announces
Closure of USD200m Syndicated Loan Facility: Oversubscribed By $268.5m
14. Nedbank
Associate Under Scrutiny - Sunday Times SA
15. Compliance With
IFRS IAS21 – ETI and The Effects of Changes in Foreign Exchange Rates