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The Arab Bank for Economic Development in Africa (Badea), rated Aa1 (stable) by Moody’s / AA+ (stable) by S&P / AAA (stable) by JCR, has raised $1 billion from a five-year senior, unsecured benchmark-sized Eurobond, with its spread tightening to a secured overnight financing rate (SOFR) of +80bps from IPTs in the +88bps mid-swap area.
The Regulation S, Category 2 issuance secured a 4.75% fixed rate coupon, paid semi-annually in arrear, with a yield of 4.776% and a reoffer price of 99.886.
The orderbook peaked in excess of $1.55 billion at launch before settling at $1.5 billion during final allocation (excluding JLM interest).
The issuance has an expected rating of Aa1 by Moody’s / AA+ by S&P / AAA by JCR, with a listing to follow on the London Stock Exchange’s Main Market.
The registered notes, which come under Badea’s Euro Medium Term Note Programme, have an issue date of 30 June 2026 and will mature on 30 June 2031.
Credit Agricole CIB, Deutsche Bank and JP Morgan are the joint global coordinators, with JP Morgan as the billing and delivery bank and Lazard as the financial advisor.
Badea is a multilateral development finance institution owned by 18 sovereign states, including the UAE, Saudi Arabia, Oman, Bahrain and Kuwait.
(Writing by Bindu Rai, editing by Seban Scaria)
