Standard Chartered Bank, alongside three other banks, acted as Joint Lead Manager (B&D bank) in addition to being the Sole Sustainability Structuring Agent for Ecobank Transnational Incorporated (“ETI”) on its US$350m Tier 2 Sustainability Notes Issuance. The bond, priced at a yield 8.950% and coupon of 8.750%. The net proceeds from the notes will be used by ETI to finance or re-finance, new or existing eligible assets as described in ETI’s Sustainable Finance Framework, on which DNV has issued a Second Party Opinion.
This transaction represents the first ever Reg S/144A Sustainability Notes by a bank or corporate institution in Sub-Saharan Africa as well as the first Tier 2 issuance to have a Basel III-compliant and 10NC5 structure outside of South Africa (“SA”), in Reg S/144A format.
The transaction attracted significant interest from global investors across the United Kingdom, United States, Europe, Middle East, Asia and Africa, with an orderbook in excess of US$1.3 billion, which represents a 3.6x oversubscription. The phenomenal success of this transaction is a strong testament to global investors’ confidence in ETI as well as Standard Chartered’s deep knowledge of the banking and financial markets industry, access to diverse global and local investor pool and strong relationships with the key stakeholders.
Standard Chartered Bank has led and served as Joint Lead Manager on all eurobond transactions by banks in Sub Saharan Africa since 2017 (ex SA), underscoring our unparalleled leadership in the space.
Standard Chartered’s Executive Director, Corporate, Commercial and Institutional Banking, Nigeria, Mr. Olukorede Adenowo noted that “Standard Chartered is proud to partner with ETI on this innovative and landmark transaction. The success of this issuance demonstrates investors’ confidence in ETI’s strategy as a leading banking group out of Africa, particularly as this represents the bank’s second issuance within the last three years. We continue to work with our clients across Africa to deliver on their growth aspirations and also use our market leading position in the international bond markets and sustainable financing space to drive inclusive growth and development in Africa.‘’