Fidelity Bank Plc has fully redeemed its $400 million Eurobond at maturity, reinforcing its financial credibility and commitment to meeting its obligations to international investors.
The five-year senior unsecured notes, issued on October 28, 2021, matured on October 28, 2026, with the bank completing repayment of the entire principal and accrued interest. The instrument carried an annual coupon of 7.625 per cent, payable semi-annually.
The successful redemption, funded through internally generated liquidity, underscores the bank’s prudent financial management and deliberate efforts to maintain a strong liquidity position while meeting its debt obligations.
In a statement, the Managing Director and Chief Executive Officer of Fidelity Bank, Dr Nneka Onyeali-Ikpe, said the repayment reflected the bank’s disciplined approach to balance sheet management and its commitment to honouring obligations to investors and other stakeholders.
“This successful redemption demonstrates the strength of our franchise, the discipline of our balance sheet management and our commitment to honouring our obligations to investors and other stakeholders.
“We anticipated this maturity from the outset and planned accordingly, which reflects our commitment to responsible financial management,” Onyeali-Ikpe said.
The bank said it had systematically built provisions for the repayment through a dedicated sinking fund, allowing it to meet the maturity obligation without disrupting normal business operations or compromising compliance with regulatory liquidity requirements.
The transaction further consolidates Fidelity Bank’s presence in the international debt capital market, where it has maintained a record of successful Eurobond issuances.
The 2021 offer was the bank’s third Eurobond transaction, following earlier issuances of $300 million in 2013 and $400 million in 2017.
It attracted investor orders exceeding $700 million, indicating strong appetite for the bank’s international debt offering.
The latest development comes after Fidelity Bank completed its recapitalisation programme ahead of the regulatory deadline, raising its eligible regulatory capital to approximately N533 billion.
The capital position exceeds the N500 billion minimum requirement for banks operating with international authorisation.
The completion of the Eurobond repayment and recapitalisation programme strengthens the bank’s financial position, demonstrating its capacity to manage major financial obligations while sustaining its growth ambitions in domestic and international markets.
