FEC Approves Citigroup, Standard Chartered as Joint Managers for $2.86 Billion Eurobond

• FEC Approves Citigroup, Standard Chartered as Joint Managers for $2.86 Billion Eurobond

The Federal Executive Council (FEC) has approved Citigroup Global Market Limited and Standard Chartered Bank as joint managers for its $2.86 billion Eurobond.

The other transaction parties approved were FSDH Merchant Bank Limited as a financial adviser; White And Case LLP, Banwo and Ighodalo as legal adviser and Africa Practice Limited as technical adviser on communication.

Minister of Finance, Zainab Ahmed, said the transaction parties are expected to advise the government on “the structure and timing, as well as, documentation for the issuance” of the Eurobonds and other securities.

The minister further said the approval is in line with the implementation of 2018 Appropriation Act, adding that “Consistent with government’s policy on development of infrastructure, the proceeds of the Eurobond issuance will be deployed to fund critical capital projects in the 2018 Appropriation Act.”

The naming was after the Senate approved Federal Government request for two external loans totalling $2.868 billion.

President Buhari had written to the Senate last week, seeking approval for $2,868,540,00 external loans in the form of Eurobond.

The president had explained that $2,786 billion would be borrowed from the international market as a new loan, while the remaining $82.54 million will be raised to finance $500 million mature Eurobond in the international capital market.