Published: November 6, 2013
Nigerian lender taps international market for US$400mn, less than expected.
Nigeria’s Guaranty Trust Bank has issued a US$400mn eurobond, smaller than the US$500mn deal the bank was expected to announce.
In a research note, Standard Bank analyst Samir Gadio said the smaller deal size suggested the bank faced “no immediate urgency” to raise new money in dollars, adding that “the rationale behind the eurobond sale now was also to take advantage of the cheap financing presently available”.
The five-year paper was priced with a yield of 6.125%, at the tight end of guidance.
The bank last visited the eurobond market in 2011, raising US$500mn.