Fidelity Bank Plc has announced the redemption of its $400million five-year Eurobond Notes which was due yesterday, Monday October 17, 2022.
The $400 million Eurobond, which the bank issued five years ago, also included a Tender Offer for the refinancing of the Bank’s $300million Senior Unsecured Notes issued in May 2018.
The bank said in a statement that the transaction was the largest combined new issue & liability management offering ever by a Nigerian issuer and was well received by analysts and investors.
The transaction which was managed by Citigroup Incorporated, Renaissance Capital and Standard Bank Group Limited achieved an oversubscribed order book of $630 million, the Bank added.
Upon final maturity of the Eurobond, note holders received a total of $421 million covering the principal amount and the accrued 6 months coupon in line with the executed Trust Deeds.
The Managing Director/CEO of the bank, Nneka Onyeali-Ikpe commented: “The liquidation of the notes despite the strong headwinds in the domestic economy – especially when viewed against the backdrop of short dollar supply, is a testament to the strong liquidity position of the bank and the resilience of our balance sheet.”
In its interim audited result for the mid-year 2022, the bank reported strong financial ratios with a capital base of N3.7 trillion, profit before tax of N25 billion and a return on equity (ROE) of 15.4 per cent evidencing the efficient management of the bank’s assets.