United Bank for Africa (UBA) Plc has successfully raised $300 million through its Global Medium-Term Note programme (GMTN).
The group company secretary, Bili Odum, in a message on the Nigerian Exchange (NGX) Limited said: “the global offering represents five-year senior unsecured notes listed on the London Stock Exchange and was the first issue out of the newly established $1.5 billion Global Medium-Term Note Programme, established in November 2021.
The senior notes, rated by both Fitch (B) and S&P (B-), mature in November 2026 and were issued at a coupon of 6.750 per cent.
According to the bank, net proceeds from the sale of the notes will be applied towards the repayment of outstanding debt.
The offering was announced on November 8, 2021 and investor interest was global, including the United Kingdom, Europe, Asia, Africa, the Middle East and the US.
“The senior notes were priced via intra-day execution and the order books were 1.7 times oversubscribed. The successful issue reflects continuing global investor appetite for UBA’s credit and support for the group’s pan-African strategy.
“The new issue was launched alongside a Tender Offer on the outstanding $500 million, 7.750 per cent notes due 2022,” it said.
It stated further that the new issue was launched alongside a tender offer on the outstanding $500 million, 7.750 per cent notes due 2022 adding that the expiration date of the cash tender offer is November 16, 2021.
Speaking on the offering, the group managing director and chief executive officer of UBA, Mr. Kennedy Uzoka stated that this successful dollar-denominated offering further illustrates global investor confidence in the strong fundamentals of its group.
