Access Bank Plc (the Bank) (rated ‘B’ stable outlook by Fitch and ‘B2’ negative outlook by Moody’s) a leading full service Nigerian commercial bank with presence in 11 African countries, is pleased to announce the successful pricing of a US$500 million 144A/ Reg S Senior Unsecured Eurobond. The offering achieved the lowest (outstanding) Nigerian bank Eurobond coupon, supported by an over 3x oversubscribed orderbook of over US$1.6 billion, which represents the largest orderbook ever for a Nigerian bank Eurobond transaction.
The Senior Eurobond is a 5-year unsecured note (144A/RegS) under the Bank’s US$1.5 billion Global Medium-Term Note Programme and is listed on the main market of the London Stock Exchange. The bond matures in September 2026 and was issued with a yield and coupon of 6.125% with interest payable semi-annually in arrears.
The net proceeds of the Eurobond will provide medium term funding and help to enhance the capacity of the Bank to support its general banking purposes.
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The transaction saw a significant demand from top quality investors globally including United States, Europe (incl. the UK), Middle East, Asia and Africa, anchored by a number of large tickets.
On this Eurobond issuance, Dr. Herbert Wigwe, Group Managing Director, stated:
“At Access Bank we remain committed to our vision to become the World’s Most Respected African Bank and Africa’s Gateway to the World. The success of our US$500 million Senior Unsecured Eurobond is yet another stride towards the realisation of that vision and underscores our investors confidence in the Access Bank story. We are pleased with the diversity of the order book and the success of this issuance further strengthens our resolve to deliver on our strategic objectives”.
Absa, Barclays Bank, JP Morgan and Standard Chartered acted as Joint Bookrunners on the transaction; and Chapel Hill Denham and Rand Merchant Bank acted as Financial Advisors and Joint Bookrunners.