September 06, (THEWILL) – The Bank of Industry (BoI) said it has raised approximately €1.43 billion during the senior phase of its global loan syndication.
In a statement on Thursday, BoI said the transaction, which was the largest amount in the history of the bank, also recorded a 42.5% oversubscription.
It explained that the facility included a fully guaranteed and a partially guaranteed tranche by Africa Finance Corporation.
BoI disclosed that it raised €1 billion via a term loan syndicated facility in July 2022, which was repaid in July 2024.
Commenting on the transaction, the Managing Director/Chief Executive of BoI, Dr. Olasupo Olusi, said the proceeds of the loan would help finance a growing demand for BoI funds across the country.
Olusi said, “This is the largest syndication in the bank’s history and is a testament to the hard work and dedication of the management of BoI to ensuring that much-needed low-interest and longer-tenured funds are available to Nigeria’s growing private sector in line with the vision of His Excellency, President Bola Tinubu.
“We are grateful for the support received from the CBN and other agencies of government.”
The BoI boss assured that the bank, under his leadership, would continue to work with global development financial institutions to ensure better loan terms for Nigeria’s private enterprises.
He explained that the performance represented a mark of confidence in the bank and the Nigerian economy by foreign investors who perceive a bright future for the country.
Meanwhile, the bank has appointed the AFC and Standard Chartered Bank as the global coordinators of a €1 billion syndicated term loan facility (with an accordion of another €1 billion).
Also, AFC, African Export-Import Bank, First Abu Dhabi Bank PJSC, FirstRand Bank Limited (London Branch), acting through its Rand Merchant Bank division, Mashreqbank PSC, SMBC Bank International Plc, and Standard Chartered Bank were appointed as the initial mandated lead arrangers and bookrunners.
In addition, Absa Bank Limited (acting through its corporate and investment banking division) and its affiliates and Export-Import Bank of India (London Branch) have also joined the facility as initial mandated lead arrangers, BoI stated.
The bank said it was looking forward to a successful conclusion of the ongoing general phase, given the level of interest expressed by local and international banks and investors.
THEWILL recalls that President Tinubu, in October 2023, approved the appointment of Dr. Olasupo Olusi to serve as the Managing Director and Chief Executive Officer of BoI for a term of four (4) years in the first instance.
Sam Diala is a Bloomberg Certified Financial Journalist with over a decade of experience in reporting Business and Economy. He is Business Editor at THEWILL Newspaper, and believes that work, not wishes, creates wealth.
