Ecobank Transnational Incorporated (ETI) has successfully issued a $125 million 10.125% Senior Notes due in 2029, marking a significant milestone for the bank and the African Eurobond market.
The notes, issued on Friday, May 15, 2025, will be consolidated with the existing $400m 10.125% Senior Notes, also due in 2029, originally issued on October 15, 2024.
The transaction, advised by Renaissance Capital Africa, demonstrates strong investor confidence in ETI and the African financial sector.
The issue was oversubscribed, with a peak order book of approximately $235m, allowing the issuer to upsize the transaction by 25% and price the notes at 9.375%, 37.5bps inside the initial pricing thoughts.
Strong Demand from Global Investors
The issuance attracted strong interest from global investors, including banks, development finance institutions, and fund managers across Africa, the United Kingdom, and Europe.
Following an earlier announcement on the 14th of April 2025, which was accompanied by a series of investor calls, the transaction launched on the 15th of May 2025 with strong initial investor interest, opening the orderbook at 9:00 am with Initial Pricing Thoughts (IPTs) set at the 9.725% area.
There was quick momentum, with the book fully covered within the first hour, paving the way for a tightening of guidance to the 9.500% area by 12:00pm on the back of a solid $215m book.
Renaissance Capital Africa played a key role in coordinating the transaction, developing the investor story, and leveraging its distribution network.
Market Significance
This transaction marks the first public Sub-Saharan African bank Eurobond issuance following the reopening of markets after a period of volatility.
The success of this issuance demonstrates the resilience of the African financial sector and the appetite for high-quality credits in the region.
Renaissance Capital Africa’s role in the transaction highlights its expertise in handling complex financial transactions and its commitment to supporting African financial institutions in accessing international capital markets.
What you should know
- Ecobank Transnational Incorporated (ETI) is a leading Pan-African banking franchise with a presence across 35 African countries.
- The company’s Net Interest Income (NII) increased by 2% year-on-year to US$295M in the first quarter of 2025, with its Non-Interest Revenue (NIR) ratio standing at 25.2% for the period.
- With a strong shareholder base, the bank has successfully raised US$1.4bn in Eurobonds since its debut offering in 2019.
