Mauritius Commercial Bank Limited (MCB) successfully completed its first unsecured senior bond issuance of USD 300 million for a five-year tenor. This historic transaction is the very first bond issuance by a Mauritian company in the international capital markets.
This transaction is part of its USD 3 billion Global Medium Term Note Programme. The Programme, rated Baa3 by Moody’s, has been approved for listing on the London Stock Exchange’s International Securities Market on 28 October 2022.
These bonds aim to diversify the sources of funding for MCB, with the proceeds of this issue going towards general needs and more specifically to support its international diversification strategy. These bonds were issued with a 7.950% coupon, with interest payable twice a year, and will mature on April 26, 2028. Having received the support of development finance institutions, the offer was oversubscribed at the request of a wide range of investors and was allocated to a global mix of 45 asset managers and financial institutions (35% from the UK and Europe, 36% from Sub-Saharan Africa and 24% from the MENA region and Asia).
Citigroup Global Markets Limited, Emirates NBD Bank PJSC, J.P. Morgan Securities Plc and SMBC Nikko Capital Markets Limited acted as Joint Bookrunners, and African Export-Import Bank (“Afreximbank”) was the Joint Lead Manager for this issuance.
Alain Law Min, CEO- MCB Ltd: “This issuance, which is a historic operation for the Bank, marks our debut on international capital markets and will enhance the visibility of MCB and Mauritius on the international financial scene. The success of this transaction demonstrates the strength of our operational model and our financial profile, as well as our appeal to foreign investors”