Ecobank Transnational Incorporated, the parent company of the Ecobank Group, has raised additional $125m through a Eurobond tap, bringing the total size of its 2029 notes to $525m.

In a statement released on Tuesday on the Nigerian Exchange Limited, the Pan-African banking group disclosed that the tap was issued at a premium price of 102.634, translating to a yield of 9.375 per cent.

This marks a 100-basis point improvement compared to the 10.125 per cent yield at which the original $400m notes were issued in October 2024.

The additional capital was raised through the reopening (tap) of its existing U.S. dollar-denominated five-year notes due October 2029, which will now form a single series with the initial offering.

According to the Group, the tap issuance witnessed strong investor interest, with an oversubscription of more than two times, as demand surged from a wide range of institutional investors.

These included asset managers, banks, and development finance institutions from across Africa, the United Kingdom, Europe, the United States, Asia, and the Middle East.

The proceeds from the issuance will be used for general corporate purposes, with a major portion allocated to refinancing upcoming debt maturities, thereby strengthening the bank’s liquidity position and financial flexibility.

Speaking on the development, the Group Chief Executive Officer of ETI, Jeremy Awori, said the successful outcome of the tap underscores investor confidence in the bank’s growth trajectory.

“We are encouraged by the strong support received from international investors, which underscores their continued belief in Ecobank’s resilience and progress in executing our Growth, Transformation and Returns strategy,” he said.

“This tap enhances our financial flexibility and further reinforces our presence in the global capital markets,” the report by Punch newspaper quoted Awori as saying.

GIK/APA