Published: May 5, 2013
Bank secures US$300mn with five-year paper.
Nigeria's Fidelity Bank has raised US$300mn with a five-year eurobond.
The bond was issued with a 6.875% coupon and a 7% yield. In a note issued on Friday May 3, Samir Gadio, an emerging markets strategist at Standard Bank, wrote that the bond's "fair value" was "probably initially between 6.5% and 6.75%, slightly below the actual yield at issuance".
Gadio added that the bond should attract interest in the secondary market given that it offers "some decent yield pick-up in an environment characterised by low global rates and ample liquidity".