Africa Finance Corporation (AFC), one of the leading infrastructure solutions provider on the continent, has announced the successful closure of its largest ever debt facility—a US$1.16 billion syndicated loan. This landmark transaction, celebrated at an event in Dubai, represents a pivotal moment for AFC as it reinforces its commitment to advancing critical infrastructure projects across Africa while diversifying its investor base and enhancing financial flexibility.
The syndicated loan, initially launched at US$1 billion, witnessed a remarkable oversubscription of 49%, highlighting the robust investor confidence in AFC’s track record, creditworthiness, and ability to navigate the evolving global economic landscape. The increased capital will enable AFC to accelerate its mission of delivering sustainable solutions to bridge Africa’s infrastructure gap and unlock the continent’s vast potential for prosperity.
Leading international financial institutions including First Abu Dhabi Bank PJSC, Mashreqbank PSC, MUFG Bank, and Standard Chartered played key roles as Global Coordinators, while the Industrial and Commercial Bank of China (London Branch) served as China Coordinator. Additionally, prominent institutions such as Abu Dhabi Commercial Bank PJSC, Emirates NBD Bank PJSC, Mizuho, and Sumitomo Mitsui Banking Corporation acted as Initial Mandated Lead Arrangers and Bookrunners.
Samaila Zubairu, President & CEO of AFC, hailed the overwhelming interest from the global loan market as a testament to Africa’s growth potential and AFC’s pivotal role in driving economic growth and industrialization across the continent. He emphasized AFC’s commitment to leveraging infrastructure projects to stimulate local processing, enhance export earnings, and foster job creation, thereby advancing African industrialization.
The syndication also welcomed first-time lenders including Société Générale, Bank Muscat, and Intesa Sanpolo Bank Luxembourg S.A., underscoring AFC’s ability to attract a diverse coalition of investors who recognize the Corporation’s strong fundamentals and investment-grade status in Africa.
With its A3 credit rating by Moody’s, AFC has been proactive in diversifying its funding sources. In addition to the recent syndicated loan, AFC secured a US$350 million long-term line of credit from the African Development Bank (AfDB), a EUR50 million loan facility agreement with Cassa Depositi e Prestiti SpA (CDP), and a US$400 million facility from the Exim Bank of China.
Source: The Cabal