Ecobank Transnational Incorporated (ETI) has successfully issued a USD 450 million Sustainable Agriculture & Natural Capital Tier 2 Eurobond, marking a major milestone in African sustainable finance.
In a bulletin posted dated 14 May and posted on NGX, the 10.25-year bond (callable after 5.25 years) attracted strong investor demand, with the order book exceeding USD 1.36 billion — a 3.9 times oversubscription of the initial USD 350 million target.
This enabled Ecobank to upsize the deal by USD 100 million and tighten pricing by 50 basis points.
The notes will be listed on the London Stock Exchange, with settlement scheduled for 19 May 2026.
The transaction is the first ICMA Nature Bond issued by a commercial bank globally, carrying the ICMA Nature Bond secondary designation under the ICMA Sustainable Bonds for Nature guide.
It is also the first ICMA-aligned nature bond from any African commercial bank. Moody’s Ratings awarded the transaction its highest Sustainability Quality Score (SQS1 — Excellent), the top score given to any pan-African commercial bank.
Net proceeds from the issuance will finance a concurrent any-and-all tender offer for ETI’s outstanding USD 350 million 8.750% Tier 2 Sustainability Notes due June 2031, while the balance will support eligible assets under Ecobank’s Green Bond Framework.
An amount equivalent to the full net proceeds will be allocated to a portfolio of sustainable agriculture and water infrastructure loans spanning 24 African countries.
FMO, the Dutch entrepreneurial development bank, participated with a USD 50 million anchor order — its second consecutive anchor investment in an Ecobank Tier 2 capital transaction
“This transaction is a defining moment for Ecobank and African sustainable finance,” Jeremy Awori Group Chief Executive Officer said.
“Investors demanded more, allowing us to upsize and tighten pricing.
This bond belongs to the farmers and communities across 24 countries whose livelihoods depend on healthy ecosystems.”
Ayo Adepoju, the Group Chief Financial Officer, added that the issuance successfully refinanced the 2021 notes while advancing the Group’s sustainable finance agenda.
Renaissance Capital Africa and Standard Chartered Bank acted as Joint Lead Managers and Bookrunners.
About the company
Ecobank is the leading pan-African banking group, present in 34 sub-Saharan African countries, serving over 32 million customers.
Administrator and Writer
