Ecobank Transnational Incorporated (ETI), the parent company of the Ecobank Group, has successfully raised an additional $125 million through a tap issuance of its existing Eurobond, expanding the total value of its 2029 notes to $525 million.
In a disclosure to the Nigerian Exchange Limited on Tuesday, the pan-African banking group headquartered in Lomé, Togo, said the new tranche was issued at a price of 102.634, yielding 9.375%. This reflects a notable improvement from the original $400 million issue in October 2024, which carried a yield of 10.125%.
The bond tap, which involves reopening existing debt securities for additional capital, drew strong interest from global investors, resulting in an oversubscription of more than twice the offer size. Participants in the issuance included asset managers, commercial banks, and development finance institutions from Africa, the UK, Europe, the US, Asia, and the Middle East.
According to Ecobank, the proceeds from the bond tap will support general corporate operations, with a focus on refinancing maturing obligations. This is expected to enhance the group’s liquidity and improve its financial agility.
Jeremy Awori, Group Chief Executive Officer of ETI, praised the outcome as a vote of confidence in Ecobank’s business strategy and financial resilience.
“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 strategy,” Awori said.
He added that the transaction reinforces the bank’s position in global capital markets and strengthens its ability to respond to financial needs.
Echoing this sentiment, Group Chief Financial Officer Ayo Adepoju said the tap aligns with the bank’s strategic aim of diversifying funding sources and optimizing debt maturity structures.
“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,” he stated.
The transaction was backed by a consortium of leading financial institutions. Absa, Africa Finance Corporation, African Export-Import Bank, Mashreq, and Standard Chartered Bank served as Joint Lead Managers and Bookrunners. Ecobank Development Corporation acted as co-manager, while Renaissance Capital Africa was the financial adviser.
The issuance highlights Ecobank’s efforts to maintain a solid balance sheet and expand its presence in international financial markets.
