Cheap high grade African Bank pays 8.125%
An attractive 8.125% yield for consumer lender African Bank’s five year bond drove orders to $1.75bn — but the bank kept the deal to $350m when it issued it on Tuesday night. The note, priced at par by Credit Suisse, Goldman Sachs, Rand Merchant Bank and Standard Chartered Bank, traded up to 100.75 on Wednesday morning — a tightening of 17bp on a spread basis.
"Its a strategic priority for African Bank to access an international investor base," said Spencer Maclean, head of syndicate, west, at Standard Chartered Bank in London. "The issuer has a $2bn EMTN programme so its clear they will return to the market in a controlled fashion."
Price guidance had
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