Published: July 23, 2012
Nigerian bank plans to issue five-year paper this week.
Nigeria’s Access Bank is raising US$350mn through a bond issuance arranged by Citi and Goldman Sachs.
The bank plans to issue five-year paper with a yield of 7.25% on Wednesday. The proceeds will be used to support the bank’s trade finance business and serve as a source of long-term foreign currency funding to lend to clients in Nigeria’s oil and gas and power sectors.
The bonds are expected to be rated B+ by Standard & Poor’s and B by Fitch.
Access Bank has grown rapidly since it bought Nigeria’s Intercontinental Bank in a deal completed in January. The takeover followed a recapitalisation of several Nigerian banks, including Intercontinental Bank, in 2009.