Reported by: Oahimire Omone Precious | Edited by: Gabriel Osa
Ecobank Nigeria Limited has announced the successful completion of its early repayment programme for its $300 million Eurobond, prepaying approximately $245 million — more than 80 per cent of the total issuance — to bondholders who validly tendered their notes ahead of the original February 16, 2026 maturity date.
In a statement issued by the bank, the 7.125 per cent Senior Note Participation Notes due in 2026 were prepaid under a tender offer launched on November 27, 2025, giving eligible investors the option to redeem their holdings before maturity. The early and late participation deadlines were December 11, 2025 and December 29, 2025, respectively.
Holders who validly tendered their bonds and were accepted received $1,000 per $1,000 in principal amount, together with accrued interest from the last interest payment date up to — but excluding — the final settlement date of December 31, 2025. The strategic move has reduced the outstanding principal on the Eurobond to roughly $55.092 million, aligning with the bank’s goal to optimise its debt profile and manage future liabilities more prudently.
The tender offer, conducted in partnership with Renaissance Capital Africa (acting as financial adviser and dealer manager) and Sodali & Co Limited (serving as tender agent), reflects Ecobank Nigeria’s proactive liability management strategy amid evolving market conditions. By enabling bondholders to exit before maturity, the bank sought to manage its balance sheet more effectively while maintaining confidence among its investor base.
The repurchase occurred against a backdrop of international credit rating developments. In November 2025, S&P Global Ratings downgraded Ecobank Nigeria’s long‑term issuer credit rating to “CC” with a negative outlook, a move investors monitored closely in relation to the bank’s debt obligations. Despite the downgrade, the bank’s decision to complete an early repayment for the bulk of the Eurobond underscores its commitment to meeting financial responsibilities and strengthening investor confidence.
Ecobank Nigeria’s initiative to retire a significant portion of this bond ahead of schedule demonstrates increased financial discipline and strategic debt management, and is expected to provide the institution with greater flexibility in capital planning as it approaches 2026 and beyond.
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