Access Bank signs $162.5m syndicated loan agreement

Access Bank Plc says it has signed a subordinated syndicated loan agreement totalling $162.5m.

In a statement  on Monday, the bank said the facility was arranged by the Netherlands Development Finance  Company and was provided together with the Belgian Investment Company for Developing Countries, Blue Orchard Microfinance Fund, CDC Group Plc, German Investment Corporation, Finnfund, Oikocredit and European Financing Partners.

It added that the facility was funded by the European Investment Bank, acting on behalf of the European Community and the Norwegian Investment Fund for Developing Countries.

The FMO acted as the mandated lead arranger and would be the facility agent, the statement added.

It stated that the facility would qualify as Tier-II capital, which would enable Access Bank to roll out its five-year strategy of becoming Africa’s gateway to the world.

Part of that strategy was also to deepen the footprint in the retail segment as well as increasing its support to local micro, small, and medium-size enterprises, thereby supporting job creation in the Nigerian economy, it added.

Speaking on the transaction, the Group Managing Director/Chief Executive Officer, Access Bank, Herbert Wigwe, said, “We are pleased to have worked with a world-class group of lenders on this transaction. The deal further reinforces the fact that our institution remains globally respected and reputable. The syndicated facility is geared towards supporting the bank’s efforts to promote the growth and job creation potential of the private sector through improved access to financing.

“Additionally, specific attention will also be paid to strengthening micro, small and medium-size enterprises as many have been held back due to a lack of access to finance. We believe this relationship will be the beginning of many more international partnerships with such entities.”

The Chief Investment Officer, FMO, Linda Broekhuizen, said, “FMO is proud to be the mandated lead arranger for this landmark transaction. Through this transaction, the FMO strengthens its long-standing relationship and commitment to our well-reputed client, Access Bank.  All lenders are pleased to be significant contributors to fostering the Nigerian economy and supporting job creation.”

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