Africa Finance Corporation (AFC), Africa’s infrastructure financing organisation, has issued a $500 million 10-Year Eurobond for general corporate services.
The Corporation in a statement indicated that the “senior, unsecured Eurobond, which carries a coupon of 3.75 percent, was priced to yield 3.895 percent for a tenor of 10 years, being the longest tenor bond issued by the corporation till date.
It clarified: “The bond received strong global interest across the Middle East, Asia, the United Kingdom, Switzerland, and Europe. Prior to the launch of the bond, AFC held a global investor call followed by investor meetings in London.
“The issuance is the fourth Eurobond issued by the Corporation, under its US$ 3,000,000.00 Global Medium-Term Note Programme. The bond proceeds will provide capital for AFC to support its growth and long-term approach to infrastructure investment in Africa”, the AFC added.
According to the corporation, the bond was rated A3 by Moody’s Investor Services, in line with AFC’s issuer rating.
The bond is also listed on the Irish Stock Exchange and was distributed to investors in Asia (28 percent), United Kingdom (26 percent), Switzerland (17 percent), Middle East and Africa (15 percent) and other Europe (11 percent)”