Africa Finance Corporation (AFC) (https://www.AfricaFC.org/), Africa’s leading infrastructure solutions provider, has successfully concluded a US$389 million dual currency Samurai term loan facility , split into US$382 million and ¥1 billion JPY.
The transaction marks AFC’s second foray into Japanese capital markets, following an initial Samurai loan facility in 2019, when the Company raised US$233 million and 1 billion yen.
The 3-year maturity facility is an important milestone as AFC forms a coalition of investors to diversify its funding sources, including more institutional capital from Asia and existing partners in Europe and North America. North. Japanese investors showed strong interest in the issue, Mizuho Bank Ltd, MUFG Bank Ltd. (“MUFG”), Sumitomo Mitsui Banking Corporation (“SMBC”) acting as Mandated Lead Arrangers and Bookrunners. Other participating financial institutions are Bank of Yokohama, Norinchukin Bank, Shiga Bank and Gunma Bank. Proceeds from this facility will be used for general corporate purposes.
AFC has a strong track record in Asian capital markets, issuing a US$300 million loan facility through the Export-Import Bank of China in 2018 and a Kimchi term loan facility of US$140 million in 2019. Asia is key to Africa’s next phase of growth and Japan, in particular, is an important player as the country has shifted its engagement with Africa in recent years , moving from aid to increased investment. The government of Japan, shifting its focus from aid to investment, recently pledged $30 billion over the next three years for the resilient and sustainable development of the African continent. The announcement was made at the recently concluded eighth Tokyo International Conference on African Development (TICAD), signaling a boom in economic relations between Africa and Asia.
Banji Fehintola, Senior Director and Treasurer of AFC, said: “Asia is a very important region for us and the participation of Asian investors in our bond issues has increased significantly over time. The success of this loan offering demonstrates AFC’s ability to diversify its sources of financing by mobilizing global capital to build critical infrastructure in Africa and transform lives.
Distributed by APO Group for Africa Finance Corporation (AFC).
Media Requests:
Yewande Thorpe
Communication
African Finance Corporation
Mobile: +234 1 279 9654
Email: yewande.thorpe@africafc.org
Gavin Serkin
New markets Media&Intelligence
Telephone: +44 20 3478 9710
Email: gserkin@newmarkets.media
About AFC:
AFC was established in 2007 to be the catalyst for private sector-led infrastructure investment across Africa. AFC’s approach combines specialized sector expertise with a focus on financial and technical advisory, project structuring, project development and venture capital to meet Africa’s infrastructure development needs and drive a sustainable economic growth.
Fifteen years later, AFC has earned a reputation as the partner of choice in Africa for investing in and delivering high-quality instrumental infrastructure assets that deliver essential services in the core infrastructure sectors of power, natural resources, heavy industry, transport and telecommunications. AFC has invested over US$10 billion in 35 African countries since its inception.https://www.AfricaFC.org/
/cloudfront-us-east-1.images.arcpublishing.com/gray/WHPENSRZLRCLDDECOKLAPUQBAI.jpg)
