Ecobank Signs $250m Loan Facility Led by Afreximbank and AFC to Support Trade and General Corporate Purposes

Ecobank Transnational Incorporated (ETI) has recently entered into a senior unsecured bridge-to-bond Loan Facility worth USD 250 million. The African Export-Import Bank (Afreximbank) and Africa Finance Corporation (AFC) are acting as Global Coordinators and Initial Mandated Lead Arranger for this facility. The purpose of this loan is to support trade finance and the general corporate needs of the group. Mashreqbank psc. has also joined as a mandated lead arranger for this transaction. The loan has a duration of twelve months, with a provision for a six-month extension at the discretion of the lenders.

In addition to the bridge-to-bond loan, there is an accordion feature that allows for an increase in the total commitments under this facility within a specified timeframe.

Ayo Adepoju, Ecobank’s Group CFO, expressed his enthusiasm for this new facility, emphasizing that it provides additional liquidity buffers for the bank. He also highlighted the bank’s ability to garner market support and diversify its funding sources, even in challenging economic conditions. Adepoju acknowledged the efforts of the teams involved in securing this facility and recognized the importance of strong partnerships and the leadership provided by the Lead Arrangers.