This article is sponsored by BIDC
This FCFA 70 billion transaction is a ground-breaking innovation in the regional public offering market, as it is the first issue of a Green, Social and Sustainability (GSS) Bond on the said market. It was completed in less than 5 days of subscription, thanks to the enthusiasm of investors for the issuer – the ECOWAS Bank for Investment and Development (EBID) – and sustainable bonds. The resources raised through this transaction will be used exclusively to finance projects with a significant impact in the WAEMU region.
The shares will soon be available for purchase and sale on the secondary market through approved intermediaries. As a reminder, EBID’s eighth bond issue was authorised under number EOP/24-01 by the Autorité des Marchés Financiers (AMF-UMOA). 7,000,000 dematerialised bonds were issued at a unit price of FCFA 10,000 with a 7-year maturity, a net annual coupon of 6.50% and semi-annual amortisation after two (2) years deferral on the capital.
The net proceeds of this issue will be used to finance projects that comply with AMF-UMOA’s taxonomy of green and sustainable bonds in WAEMU countries. EBID, the ECOWAS Development Finance Institution, is committed to financing public and private sector development projects and programmes in priority areas such as energy, water and sanitation, health, agriculture, and infrastructure within the region.
Dr George Agyekum DONKOR, President of EBID and Chairman of its Board of Directors, expressed the Bank’s satisfaction, saying: ‘We thank the investors for their continued confidence in us and our Consortium partners who have been with us since the first tranche to ensure the success of this transaction. The impact of this issue is at the very core of EBID’s mission, through the financing of key sectors that will contribute to the achievement of sustainable economic growth in the Member States, which is vital for the well-being of the population’.
Mr. Ababacar DIAW, Managing Director of SGI IMPAXIS, lead Arranger and Leader of the Transaction on behalf of the Consortium, for his part, stated that ‘The IMPAXIS Group would like to thank EBID for entrusting it with this FCFA 240 billion programme which has been completed with this tranche. This first GSS Bond from EBID has had a major impact on the regional financial market and is a key turning point for our market. We would also like to thank the investors who responded in large numbers, demonstrating their confidence in EBID and their appetite for sustainable borrowing.