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Banks (Finance)

Fidelity Bank Concludes Successful Eurobond Offering

Strategic Insights

— 1 min read

Fidelity Bank plc has successfully concluded a 5-year Eurobond offering, raising $400 million from the international capital markets with a 7.765 percent coupon. This highly successful outing marks the bank's third foray into the global debt market, following previous issues in 2013 and 2017. The Eurobond was managed by a strong team of joint lead managers, including JP Morgan, Citigroup, and the African Export-Import Bank (Afreximbank).

Key Takeaways:

  • Fidelity Bank raised $400 million from the international capital markets through a 5-year Eurobond with a 7.765 percent coupon.
  • The Eurobond was managed jointly by JP Morgan, Citigroup, and the African Export-Import Bank (Afreximbank), showcasing the bank's reputation for world-class corporate governance and risk management.
  • The total order book from investors peaked at over $750 million before the tightening of the price, with the bank taking $400 million that fell within the acceptable coupon rate.
  • The Eurobond was oversubscribed by 1.9x the book size, reflecting the bank's strong track record in the global markets.
  • Investors in the Eurobond include some of the most selective and best quality institutions from around the world, including investors from the UK, Europe, the United States, Asia, Middle East, and Africa.
  • This marks Fidelity Bank's third highly successful outing in the Eurobond market, demonstrating the bank's ability to tap into the global debt market.

Statistics:

  • $400 million: The amount raised from the international capital markets through the 5-year Eurobond.
  • 7.765 percent: The coupon rate of the Eurobond.
  • $750 million: The total order book from investors before the tightening of the price.
  • 1.9x: The oversubscription multiples of the Eurobond book size.
  • 5 years: The tenure of the Eurobond.
  • 2013 and 2017: The years in which Fidelity Bank previously issued Eurobonds.

Sources:

  • Fidelity Bank plc. (Undated). Press Release: Fidelity Bank Concludes Highly Successful Eurobond Offering.
  • Bloomberg. (Undated). Fidelity Bank Plc Buys $400 Million Eurobond.

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