A leading infrastructure solutions provider in Africa, the Africa Finance Corporation, has completed its biggest debt deal to date, a $1.5 billion syndicated loan.
As per a statement from the AFC, the deal marks a significant moment in the Company’s history, drawing a varied group of new and returning lenders from the Middle East, Africa, Asia, and Europe.
Initially introduced at a valuation of $1.3 billion, the three-year facility, with funds intended for general corporate use, generated significant interest, resulting in the inclusion of new lenders such as Bank of Communications, Burgan Bank, Export Development Bank of Egypt, and Hua Nan Bank, highlighting the strong investor interest in Africa’s infrastructure development prospects.
“This historic deal strengthens AFC’s position as a reliable entity in the global financial markets and highlights our capacity to raise substantial capital for Africa,” stated Banji Fehintola, Executive Board Member and Head of Financial Services at AFC.
It enhances our position in connecting Africa’s infrastructure requirements with international funding and speeds up our goal of promoting swift industrialization and realizing the continent’s complete economic capacity.
The facility boosts AFC’s financial capabilities and expands its network of strategic partners, strengthening the Corporation’s goal of promoting infrastructure-based economic growth and industrial development throughout Africa. By utilizing its strong credit standing, AFC obtained better rates than its $1.16bn Syndicated Term Loan Facility, which was finalized last year.
Highlighting AFC’s strong ties to the global financial markets, the loan arrangement was managed by a distinguished team of international arrangers, including Abu Dhabi Commercial Bank PJSC, Commerzbank AG and Standard Chartered Bank as Global Coordinators and Initial Mandated Lead Arrangers and Bookrunners.
Bank of China Limited (London Branch), First Abu Dhabi Bank PJSC, Mashreqbank PSC, MUFG Bank, Ltd., FirstRand Bank Limited, operating via its Rand Merchant Bank division (London Branch), State Bank of India (DIFC Branch), The Standard Bank of South Africa Limited, Société Générale, and Sumitomo Mitsui Banking Corporation (London Branch) all functioned as Initial Mandated Lead Arrangers and Bookrunners. Furthermore, Standard Chartered Bank served as the documentation agent, while First Abu Dhabi Bank PJSC acted as the facility agent.
The Company recently obtained a AED 937.50m Sustainability-Linked Term Loan Facility, strengthening its financial connections with the United Arab Emirates.
Provided by SyndiGate Media Inc. (Syndigate.info).
