Lomé, January 22, 2021 – The West African Development Bank’s (BOAD) first sustainable development bond issue has been a great success with international investors. This €750 million issue, with a 12-year maturity, attracted over 260 international investors (40% from the UK, 40% from Europe, 17% from the USA, 2% from Asia and 1% from the Middle East), including 75% asset managers and 21% institutional investors (banks, insurance companies and pension funds). It was oversubscribed 6 times, with total demand amounting to 4.4 billion euros.
These bonds carry a coupon of 2.75% and a spread of 300 basis points over the average 12-year MID-SWAP Euro market rate, which represents the lowest rate obtained by BOAD on the international financial market.
The issue is part of the Sustainability Bond Framework , which commits BOAD to financing projects with a high social and environmental impact. The financial resources thus mobilized will strengthen BOAD’s capacity for action in priority sectors such as agriculture and food security, renewable energies, basic infrastructure, health, education and social housing.
This operation, which is in line with the vision of the DJOLIBA strategic plan, follows the appointment in August 2020 of Mr Serge EKUE, former Director of Financing and Investment Activities for Natixis in London, as President of the Banque Ouest Africaine de Développement.
Commenting on the operation, President EKUE said: ” We are encouraged by the tremendous response we have received from investors. The very high quality of the order book and the significant level of oversubscription testify to investors’ support for the Bank’s vision, and their confidence in the prospects for growth and prosperity in the WAEMU zone. “.
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About BOAD
The BOAD is an international public establishment whose member states are Benin, Burkina Faso, Côte d’Ivoire, Guinea-Bissau, Mali, Niger, Senegal and Togo, and whose purpose is to promote the balanced development of the member states of the West African Economic and Monetary Union, and contribute to the achievement of economic integration in West Africa.
Boad is rated ” BBB ” by Fitch and ” Baa1 ” by Moody’s. since 2015. Thanks to this rating, which places the institution among the best in Africa, since 2016 it has carried out three USD bond issues on the international financial market for USD 2, ,430 million.
Find out more at :
https://www.boad.org/ ; Twitter : @boad_official – @PresidentBOAD
For further information, please contact
West African Development Bank
Communication, Marketing, Public Relations and Knowledge Department
Telephone: +228 22 23 25 65
Fax: +228 22 23 24 38
E-mail: boadsiege@boad.org]
Vae Solis Communications
Phone : +33 7 64 40 45 80
E-mail : boad@vae-solis.com
Important information This press release does not constitute an offer or solicitation to purchase the Bonds, nor shall there be any sale of the Bonds in any state or jurisdiction in which such offer or solicitation would be unlawful absent prior registration or an applicable exemption under the securities laws of any such state or jurisdiction.
The Bonds have not been and will not be registered under the Securities Act of 1933, as amended (the ” Securities Act “) or the securities laws of any of the States of the United States, and may not be offered or sold in the United States absent registration or an exemption from the registration requirements of the Securities Act or the securities laws of any of the States of the United States. The Bonds will not be offered to the public in the United States.
This press release does not constitute an offer of securities to the public in the United Kingdom. Consequently, this press release is addressed solely and directly to (i) to persons located outside the United Kingdom, (ii) persons with professional experience in investment matters within the meaning of article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 as amended (“the Order “), (iii) high-capitalization companies as referred to in article 49(2) of the Ordinance, and (iv) to any other person to whom this press release may be addressed in accordance with applicable law (all such persons together being referred to as the ” Authorized persons ). Any placement activity to which this communication refers is accessible and will only be offered to Qualified Persons. All persons other than Authorized Persons must refrain from using or relying on this press release and the information it contains.