Dr. Nneka Onyeali-Ikpe, MD/CEO, Fidelity Bank Plc
Susan Abayomi
Fidelity Bank Plc has successfully redeemed its $400 million five-year Eurobond at maturity, reaffirming its commitment to meeting investor obligations and strengthening its record in the international debt capital markets.
The Senior Unsecured Notes, issued on October 28, 2021, matured on October 28, 2026, with an annual coupon rate of 7.625 per cent, payable semi-annually.
According to the bank, all scheduled coupon payments were met throughout the life of the instrument, while the final repayment covered the outstanding principal and accrued interest.
The redemption was funded through internally generated liquidity as part of the bank’s proactive liquidity management strategy. Fidelity Bank said it had progressively set aside funds through a dedicated sinking fund to prepare for the maturity, enabling it to meet its obligations while maintaining normal business operations and complying with applicable regulatory liquidity requirements.
Commenting on the development, the Managing Director and Chief Executive Officer of Fidelity Bank Plc, Dr Nneka Onyeali-Ikpe, said the successful repayment reflected the bank’s disciplined financial management and commitment to honouring its obligations.
She said the bank had anticipated the maturity from the outset and planned accordingly, demonstrating the strength of its franchise, effective balance sheet management and commitment to responsible financial practices.
The latest redemption further strengthens Fidelity Bank’s record in the international debt market. The 2021 transaction was its third Eurobond issuance, following earlier offerings in 2013 and 2017, through which the bank raised $300 million and $400 million, respectively.
The 2021 offer attracted investor orders exceeding $700 million, highlighting strong demand for the bank’s international debt offering at the time.
The Eurobond repayment also follows the completion of Fidelity Bank’s recapitalisation programme ahead of the regulatory deadline. The exercise increased its eligible regulatory capital to approximately ₦533 billion, exceeding the ₦500 billion minimum capital requirement for banks with international authorisation.
The successful completion of these milestones highlights the bank’s capital position, liquidity management and financial discipline as it continues to pursue its growth objectives across domestic and international markets.
By meeting its Eurobond obligations at maturity, Fidelity Bank has reinforced its commitment to investors and other stakeholders while demonstrating its capacity to plan for significant financial commitments without disrupting its business operations.
