Guaranty Trust Bank Plc, GTBank, has invited holders of its $500 million 7.50 per cent Eurobond initially due by May 2016, to tender their securities for redemption by the bank from Thursday, February 4.
This is a part of efforts to assuage the fears expressed by international investors over its ability to redeem its Eurobond
A statement from the bank yesterday requested that investors in the debt instrument should tender any and all of their securities for purchase by the offer or for cash, on the terms of, and subject to the conditions contained in a tender offer memorandum dated February 4, 2016 .
The offer commenced yesterday and will end at the expiration deadline, according to the bank, stating that results of the offer are expected to be announced on or before February 11, 2016.
However, it pointed out that if the expiration deadline would be extended, an announcement to that effect would be made no later than 9a.m. (New York City time), on the next business day after the previously scheduled expiration deadline.
The bank however explained that through the offer, “it seeks to deploy its available United States dollar liquidity to the repurchase of the Securities ahead of the scheduled maturity in May 2016. This liability management exercise allows the bank to efficiently manage its liquidity by addressing in full debt maturing in 2016.
GTBank also stated that any securities purchased by the offeror would be surrendered for cancellation to the principal paying agent in respect of the securities.
