AFC issues $500m Eurobond

The Africa Finance Corporation (AFC) has announced the issuance of a $500 million seven-year Eurobond. This is the AFC’s second benchmark Eurobond issuance under the Corporation’s $3 billion Global Medium Term Note Programme.

According to a press release copied to ghanabusinessnews.com, the senior, unsecured Eurobond which carries a coupon of 3.875 per cent was priced to yield 4.000 per cent and matures in April 2024.

The bond received an order book of $2.4 billion, representing five times over-subscription from 231 investors across the Middle East, Asia, the United Kingdom, Europe and the United States, the release said.

“The bond was rated A3 by Moody’s Investor Services which is in line with AFC’s issuer rating. The bond will be listed on the Irish Stock Exchange. It was distributed to investors in Europe (29 per cent), United States (25 per cent), United Kingdom (24 per cent), Asia (18 per cent) and the Middle East (4 per cent),” the release said.

By Emmanuel K. Dogbevi