Diamond Bank to list $550m bond on Irish Exchange

2

Barring any unforeseen circumstances, the proposed $550 million Eurobond to be launched later this month by Diamond Bank Plc is to listed on the Irish Stock Exchange.

According to an investors’ document for the bond, quoted by a foreign news agency, the proposed 10-year bond will be callable after five years and will be listed on the Irish Stock Exchange.

Nigeria’s Diamond Bank expects to launch a $550 million bond next month and hopes for a 10-year maturity, its chief finance officer said on Thursday, noting that its roadshow ended without a deal yet.

The mid-tier lender ended a two-week investor roadshow to Britain, Switzerland and the United States last week, which was meant to update fund managers on the bank and gauge appetite for the issue, CFO Abdulrahman Yinusa said.

“The issue as well as the pricing will happen some time in July. We have only done the roadshow,” Yinusa told Reuters, adding that the bank wanted to raise a maximum of $550 million.

Several emerging market borrowers, including Nigeria itself, have held roadshows in recent weeks, but the U.S. Federal Reserve’s talk of winding down its money-pumping programme has kept new issues to a minimum.

Yinusa said the bank had met Goldman Sachs and Fidelity fund managers, among other investors during the roadshow. The roadshow was arranged by lead managers for the bond, France’s BNP Paribas and Afrexim Bank.

A banking source said two weeks ago that Diamond Bank wanted to issue the bond at a yield of 6-8 percent, mirroring the 7 percent yield that rival lender Fidelity Bank fetched on its $300 million Eurobond issue in May.

Depending on the pricing and tenor, Diamond could settle for an amount between $300 million and $550 million, Yinusa said, noting that it will issue a minimum maturity of 7 years in order for the bond to qualify as Tier II capital on its books.

In an investors’ presentation prepared for the bond seen by Reuters, it said the proposed 10-year bond will be callable after 5 years and will be listed on the Irish Stock Exchange.

Diamond Bank, with a B credit rating and stable outlook from Fitch, has said it intends to use the bond proceeds to fund lending to the oil and gas, power and infrastructure sectors in Africa’s second biggest economy.

 

23 yrs boy started importation with N10,450. Read his story here!

Six weeks ago, I couldn't perform in bed. Here's my breakthrough

How to start a profitable importation biz with as low as N10,000 only

How Adetunji generated over N20 million online in 2014. Almost N2m in 2015

How to earn 40k-200k monthly from football matches almost on autopilot

3 Things I did to cure premature ejaculation after my wife left me

How to get flat belly in just 9 days. Click here!

Small manhood and premature ejaculation limited my performance for 4yrs!

Discover How I made N2m in 35 days from importation business

7 Simple yet amazing steps to earn over N200,000/monthly. Click here

Free Download! How to earn N200,000 monthly from importation business

Discover how I made N58000 in two weeks reselling bulksms to Nigerian companies

Click here now if you are interested in earning at least N7,500/daily

Share.

About Author

2 Comments

  1. GET POST-UME PAST QUESTIONS AND ANSWERS OF NIGERIAN UNIVERSITIES AND POLYTECHNICS WITH HELPFUL TIPS, INSTRUCTIONS AND GUIDES FOR YOUR STRESS-FREE ADMISSION INTO NIGERIAN UNIVERSITIES/POLYTECHNICS, ALL AVAILABLE, TO HELP YOU ACHIEVE YOUR DREAM.
    Think Smart, grab this opportunity and get your post utme past questions & answers of any University/Polytechnic in Nigeria, with very important informations/helpful tips, guides and instructions regarding your admission, to get you fully prepared/equipped for your exams. Click below for the list of the available copies: http://m.facebook.com/note.php?note_id=174793086019650&refid=21&ref=stream

Leave A Reply