The Bank of Industry (BOI) has successfully secured €1.425 billion through the senior phase of its global loan syndication, aimed at enhancing financial support for businesses in Nigeria.
This transaction, which experienced a 42.5 percent
oversubscription from international financial markets, reinforces BOI's role as
a pivotal entity in financing Nigeria's industrial and private sectors.
Historical data indicates that the bank's largest loan
syndications were €1 billion each in 2020 and 2022, both of which were repaid
successfully in July 2024.
Olasupo Olusi, the managing director and CEO of BOI, stated
that this recent loan syndication reflects strong confidence from foreign
investors in both BOI and Nigeria's economic outlook.
The lenders involved include prominent institutions such as
Africa Finance Corporation and Standard Chartered Bank, with Africa
Export-Import Bank serving as the Facility Agent, alongside various other
financial entities from Africa, Europe, and the Middle East.
Olusi emphasized that the syndicated loan will play a
crucial role in addressing the increasing demand for low-interest, long-term
financing within Nigeria's private sector.
He remarked, "This marks a significant milestone in the
bank's journey and its commitment to fostering sustainable industrialization in
Nigeria.
The transaction was initiated at €1 billion, with the
potential to expand by an additional €1 billion.
The results we are discussing today stem from the senior
phase, which was oversubscribed by 42.5 percent.
The general phase is currently underway, and we are
optimistic about achieving a favorable outcome upon its conclusion."