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Standard Bank leads on 2016 Eurobond issuance

June 30, 2016 2:02 pm by: Category: Africa & World, BUSINESS, Featured, Finance & Banks Leave a comment A+ / A-

Megan McDonald, Global Head of Debt Primary Markets at Standard BankJOHANNESBURG, (CAJ News) – STANDARD Bank has acted as Joint Lead Manager and Bookrunner on Banque Ouest Africaine de Développement’s (BOAD) inaugural Eurobond.

The US$750 million five-year issuance is BOAD’s debut Eurobond and matches in size the largest ever US$ Eurobond issue by any African financial institution.

The bank has also worked on local currency bond issuances across Africa this year, including four from the Republic of Ghana (for Stanbic Bank Ghana), two issuances each from Bayport Financial Services in Ghana and Mozambique and the first Namibia dollar (NAD) denominated domestic bond issuance by the International Finance Corporation (IFC).

Megan McDonald, Global Head of Debt Primary Markets at Standard Bank, said the success of these deals demonstrates that the market is open for Africa.

“It has been a volatile start to the year for markets and risk aversion to emerging markets, including Africa, has been high in recent month and spreads are now wider than in recent years. Despite this, we are still seeing interest from investors for quality credits from Africa.”

The Eurobond was issued in May 2016 with a yield of 5,75 percent.

In an effort to improve price discovery, increase investor participation and improve transparency of the Treasury bond issuance process, the Ghanaian Ministry of Finance appointed Stanbic Bank Ghana as one of three Joint Bookrunners of longer dated Treasury Bonds (Treasury Bonds with a tenor of three years or longer) to be issued under a Note Programme.

Bayport Financial Services Mozambique raised MZN201,5 million ($3,2 million) for a privately placed five- year floating rate note in April of this year. In June 2016, Bayport Mozambique completed a MZN113 million transaction, five-year issuance.

The five-year IFC NAMIB bond was the first bond by a non-resident issuer in the Namibian capital markets, raising NAD180 million ($12 million) for private sector development in the country.

Standard Bank acted as Joint Lead Manager and Bookrunner.

– CAJ News

Standard Bank leads on 2016 Eurobond issuance Reviewed by on . JOHANNESBURG, (CAJ News) - STANDARD Bank has acted as Joint Lead Manager and Bookrunner on Banque Ouest Africaine de Développement’s (BOAD) inaugural Eurobond. JOHANNESBURG, (CAJ News) - STANDARD Bank has acted as Joint Lead Manager and Bookrunner on Banque Ouest Africaine de Développement’s (BOAD) inaugural Eurobond. Rating: 0

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