Fidelity Bank Plc just concluded a highly successful Eurobond offering, raising US $400 Million from the international capital markets through a 5-Year tenor Eurobond, with a 7.765% coupon. The Eurobond was managed jointly by JP Morgan, the No. 1 Globally Ranked Investment bank in the global Eurobond league tables, along with Citigroup, who are No. 2 globally behind JP Morgan; and are No. 1 in Nigerian Bank Eurobonds specifically. The other Joint Lead Manager (JLM) was the African Export-Import Bank (Afreximbank), which is one of Africa’s top-rated financial institutions.
Fidelity Bank was able to assemble such a strong team of JLMs due to the bank’s reputation for world-class corporate governance and risk management, along with its highly experienced and top-quality management and one of the strongest Board of Directors in the banking industry. The Managing Director/CEO of the bank, Mrs. Nneka Onyeali-Ikpe, is a highly respected and admired trailblazer, as one of the few female CEOs in the banking industry, and has over three decades of experience, having previously worked at various other top financial institutions, including Standard Chartered Bank and Zenith Bank.
The bank had considered raising $500 Million, but decided, in line with the bank’s reputation for prudence, to go for a slightly lower amount of $400 Million, as that was considered sufficient to fund the trade finance and other customer requests that are in the pipeline, given that the bank already has a large amount of foreign currency on hand in highly liquid investments, based on its careful funds management. As such, it was decided that this amount would strike the best balance in order to achieve the desired results. Investors in the Eurobond include some of the most selective and best quality institutions from around the world, including investors from the UK, Europe, the United States, Asia, Middle East and Africa. This is the Fidelity Bank’s third highly successful outing in the Eurobond market, having previously issued Eurobonds in 2013 and 2017, building an impressive track record in the global markets.
Fidelity is a leader in Digital Banking, with the most innovative and convenient products and services in the market, which also allow the bank to continuously raise its already high levels of customer satisfaction. The bank’s digital platform and wide network of branches and agents also enable Fidelity to achieve one of its key strategic goals of Financial Inclusion -bringing Nigerians that do not have bank accounts into the banking system. Financial Inclusion is also a priority for the Central Bank of Nigeria and the Federal Government as a whole, as it is an essential element of economic development for the country.
The bank’s continued run of highly successful Eurobonds is not surprising to those who have been following Fidelity Bank’s journey. It has always been a stable, safe and strong institution, and continues to achieve impressive milestones and go from strength to strength, combining innovation and creativity with service excellence to its customers.
