Africa

After a two year absence from the capital markets, two Nigerian corporate issuers are lining up to test investor demand for sub-Saharan Africa high yield credit.

PPC, the largest listed South African cement producer, has completed its fully underwritten 16-for-10 rights issue in Johannesburg, raising R4bn ($280m) to clear its debts in the wake of a downgrade by Standard & Poor’s.

Bank of America Merrill Lynch has made a key hire for its South African investment banking business.

PPC, the largest listed South African cement producer, has completed its fully underwritten rights issue in Johannesburg, raising R4bn ($280m) to clear its debts in the wake of a downgrade by Standard & Poor's.

Ghana has bought back $200m of its outstanding 8.5% 2017s — just half of the targeted $400m. Emerging markets investors were happy to hold the bonds to maturity, said one on Monday.

Gold One Group, which produces low-cost gold in South Africa and is part of the Citic Group, is laying the groundwork for a Hong Kong listing with a preliminary filing.

Stanbic Bank Uganda this week decreased the size of its loan refinancing to $55m. Weaker appetite for dollars from Ugandan corporates and a prospective US rate hike were reasons for the smaller deal, the bank's CFO told GlobalCapital.

Nigerian banks may have to pay at least 6% for one year loan funding, according to two bankers, as a number of the country's financial borrowers face maturing deals in the fourth quarter.

Emerging market bonds opened 10bp-15bp wider on Monday giving issuers plenty of reason to sit and digest a sell-off following a months-long positive run. However, bankers said that more attractive valuations would be a positive for investors.

Ghana stunned bond markets with a new six year dollar deal yielding 9.25% on Thursday, barely a month after abandoning issuance plans due to pricing concerns.

African Export-Import Bank has sent a request for proposals for a loan of $750m, according to a banker who received the invitation. While PTA Bank has revealed the pricing for its $320.5m loan.

South African telecoms company MTN will start meeting investors this week ahead of a potential dollar bond market return.