The African Finance Corporation (AFC) has raised $1.6 billion syndicated loans for infrastructure.
The landmark transaction, commemorated at an event in Dubai, is a significant milestone in AFC’s unwavering commitment to develop critical infrastructure projects across the continent by enhancing its financial flexibility and diversifying its investor base.
Testament to AFC’s appeal in global capital markets and the Corporation’s pivotal role in fostering economic growth and industrialisation in Africa, leading international financial institutions including First Abu Dhabi Bank PJSC, Mashreqbank PSC, MUFG Bank and Standard Chartered collectively acted as Global Coordinators, with the Industrial and Commercial Bank of China (London Branch) acting as China Coordinator. Abu Dhabi Commercial Bank PJSC, Emirates NBD Bank PJSC, Mizuho and Sumitomo Mitsui Banking Corporation acted as Initial Mandated Lead Arrangers and Bookrunners. Additionally, Bank of China and Société Générale S.A acted as Initial Mandated Lead Arrangers.
Initially launched at US$1 billion, the three-year syndicated loan was upsized after being oversubscribed by 49%, underscoring global investor confidence in AFC’s track record, creditworthiness, and its ability to navigate the current economic landscape marked by evolving global complexities. Proceeds from the loan will be deployed to advance AFC’s mission to consistently deliver fast and sustainable solutions to close Africa’s infrastructure gap and unleash the continent’s potential, leading to prosperity for all Africans.
“The global loan market’s overwhelming interest in Africa’s growth story is evident in the large pool of lenders that supported this syndication, making it AFC’s largest ever,” said AFC’s President & CEO, Samaila Zubairu. ‘’This is a significant endorsement of our commitment to ensure that infrastructure projects support local processing and value capture, thereby providing the much needed impetus to African industrialisation, enhanced export earnings and job creation.’’
AFC’s position as the pre-eminent partner of choice between African and global stakeholders and investors for mutually beneficial outcomes reflects the Corporation’s relentless dedication to shaping a brighter and prosperous tomorrow for Africa and Africans.
Financial institutions including Société Générale, Bank Muscat and Intesa Sanpolo Bank Luxembourg S.A. joined the syndicate as first-time lenders, showcasing AFC’s ability to build a global coalition of investors confident in the Corporation’s strong fundamentals as one of the highest investment-grade institutions in Africa.
