Fidelity Bank plans to raise $500m unsecured notes

By Kayode Tokede

Fidelity Bank Plc has said it planned to raise $500million capital from the international debt capital market through an unsecured notes insurance.

The Company Secretary, Fidelity Bank, Ezinwa Unuigboje in a statement on the Nigerian Exchange Limited (NGX) on Monday said the intended capital is to be listed on Irish Stock Exchange.

He noted that Securities and Exchange Commission (SEC) has no objection to the transaction.

According to his statement: “Fidelity bank is considering raising capital from the international debt capital market through an unsecured notes insurance, proceeds of which are intended to be used for general corporate purposes including supporting its trade finance business.

“The purposed aggregate offer size is $500million, due 2026, which will when issued rank parri passu, without preference among themselves, with all other unsecured and unsubordinated obligations of the Bank.

“The company intends to list the Notes on the Irish Stock Exchange, with the expectation that the Notes will be traded on its regulated market. The Securities and Exchange Commission has confirmed that it has no objection to the Transaction.

“In view of the foregoing, the Bank is pleased to notify the Nigerian Exchange Limited of planned investors meetings with respect to the transaction scheduled to commence today October 18, 2021.

“The final decision to issue the Notes will however be subject to finalising the necessary Transaction documentation and prevailing market conditions.”