African Export-Import Bank (Afreximbank) on 10 May 2021 successfully closed a US$1.3 billion dual tenor bond issuance, the Bank’s largest-ever transaction in the international debt capital markets.
Afreximbank printed a US$600 million 5-year note at a spread of T+185bps and a US$700 million 10-year note at a spread of T+220bps, after achieving a final order book of US$4.5 billion.
The Initial Pricing Thoughts (IPTS) were announced at T+220bps area and T+250bps area for the 5-year and 10-year tranches, respectively. Backed by strong demand, the combined books peaked at US$5 billion, with a slight skew towards the 5-year tranche, seeing pricing set at T+185 bps to a re-offer yield of 2.634% and T+220bps to a re-offer yield of 3.798%, respectively. The 10-year tranche was finally priced at only a 5bps New Issue Premium (NIP), while the 5 year was priced flat to fair value.
Afreximbank closes historic US$1.3 billion bond
SheInvest: EIB doubles its commitment to mobilise €2 billion for women across Africa
One year after the launch of its SheInvest initiative at the end of 2019, the European Investment Bank (EIB) reached its initial target to mobilise a total of €1 billion in gender-lensinvestment that is set to boost gender equality and female economic empowerment across Africa. Given the success of its initiative, the EIB now commits to double its ambition and mobilise €2 billion of gender-responsive investment across the continent.
Building on its experience in northern and sub-Saharan African countries as well as in gender focused lending, the EIB is further stepping-up its efforts over the past year to increase investment in projects, sectors and markets that have a transformative effect on gender equality and can enhance the capacity of women to participate in the economy.
Novartis reaches milestone delivery of 1 billion courses of antimalarial treatment
ACTs are the standard of care for the treatment of P. falciparum malaria, the most deadly form of the disease, responsible for over 99% of cases in Africa and half of cases in Asia [2]. Since the turn of the century, ACTs have transformed malaria treatment and contributed to the dramatic reduction in malaria deaths.
Working with Chinese partners, Novartis launched the first fixed-dose ACT (artemether-lumefantrine) in 1999. Artemisinin is a natural compound found in the plant Artemisia annua, or sweet wormwood, and has shown to clear malaria parasites in the blood. ACTs combine an artemisinin derivative with a partner drug to reduce the risk of resistance if artemisinin is given alone.
AfDB, EBRD partner to unlock additional sustainable investment opportunities
The African Development Bank Group and the European Bank for Reconstruction and Development (EBRD) on Monday signed a memorandum of understanding to promote sustainable private sector development in Africa.
The memorandum of understanding will help catalyse new sources of financing to help bridge the $2.5 trillion annual financing gap for development in Africa. This gap requires that development finance institutions work in partnership.
Under this partnership, the African Development Bank and the EBRD will capitalize on their respective expertise and experience, with a particular focus on climate change, green and resilient infrastructure and capital markets development. They will also work on improving business environments, bolstering the real economy and mobilising private sector investment.
Covid-19 is threatening progress made towards the UN Sustainable Development Goals and is exacerbating debt vulnerability of many African countries. Sustainable private sector development will be key to recovery and prosperity across the continent.
