Nigeria has successfully priced its 5th Eurobond of $2.5 billion, following issuances in 2011, 2013 and two in 2017.
In a heavily over-subscribed $1.25 billion 12-year and $1.25 billion 20- year series, the notes would be used for the refinancing of the country’s domestic debt, the Debt Management Office (DMO)said.
“With the successful pricing of
our 5th Eurobond, Nigeria’s status as an Issuer of Eurobonds with a strong and diverse investor base has been further consolidated, said DMO Director General, Patience Oniha.
“I am particularly pleased that the issuance will enable us to refinance a portion of our existing domestic debt portfolio, with external debt at considerably lower cost, but also that the impact of the process has already led to a reduction in the cost of domestic borrowing, and so a double benefit for the cost of our broader debt portfolio," she said.
“Lower domestic rates will also benefit corporate borrowers.”
“This time Nigeria has priced a new 12-year bond at a yield of 7.143% and a 20-year bond at a yield of 7.696%, both of which are consistent in price with our existing portfolio.
The issuance, would also see a change in...
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