Access Bank Plc has announced plans to issue a 5-Year fixed rate Senior Unsecured Note, as part of its Global Medium Term Note Programme.
To facilitate this, the bank announced that it will be hosting a series of global investor and fixed income investor calls, from September 11, 2021. The calls will be co-anchored by a series of leading financial institutions such as; Absa, Barclays, J.P. Morgan and Standard Chartered Bank (Joint Bookrunners) and Chapel Hill Denham, Rand Merchant Bank (Financial Advisers).
Confirming this development, the bank in a statement signed by its secretary, Sunday Ekwochi said: ‘’Access Bank Plc (‘’Access Bank’’ or ‘’the Bank’’) announces today on the Nigerian Exchange Limited that it has mandated Absa, Barclays, J.P. Morgan and Standard Chartered Bank as Joint Bookrunners and Chapel Hill Denham and Rand Merchant Bank as Financial Advisers and Joint Bookrunners to arrange a global investor call in addition to a series of fixed income investor calls commencing on September 11, 2021. The issuance of a 5-Year fixed rare USD-denominated Regulation S/144A Senior Unsecured Note under the Bank’s Global Medium Term Note Programme may follow subject to market conditions.
The bank further added that: ‘’Kindly note that this announcement is not being made in, and copies of it may not be distributed or sent into, the United States (except that it may be sent in the United States directly to qualified institutional buyers, as defined in rule 144a under the U.S. Securities Act of 1993, as amended (the ‘’Securities Act’’), Canada, Australia, Japan, Nigeria or any other jurisdiction where to do so would be unlawful. These materials do not constitute or form a part of any offer or solicitation to purchase or subscribe for securities in the United States. The securities referred to herein have not been and will not be registered under the Securities Act, and may not be offered or sold in the United States or to U.S persons unless such securities are registered under the Securities Act or pursuant to an exemption from the registration requirements of the Securities Act. Recipients of this announcement may not forward this to any other person resident in Nigeria. Access Bank will not be liable for violation of Nigeria’s securities laws where a recipient forwards this announcement to other persons resident in Nigeria’’
Back story: Recall that Access Bank’s $300 million senior bond issued in 2016 is due for repayment in October this year. Based on the current FX policy restrictions by the CBN, the lender through the proposed issuance is trying to refinance its debt by exploring other sources of funding.