Nigeria leading other major shareholders invested fresh equity into Africa’s premier trade finance institution, the African Export-Import Bank (Afreximbank). The new injection which came from existing shareholders was led by the Federal Republic of Nigeria and the Arab Bank for Economic Development in Africa have invested $200 million through Class A, B and C shares and $300 million in callable capital, bringing the total value of new shares issued by the Bank in 2019 to $500 million. The majority of the proceeds of the capital raise were used by the Bank to retire warrants that were issued in December 2018.
The new equity also puts the Bank in a strong position to continue its growth in line with its strategic plan, particularly in the wake of the recently launched African Continental Free Trade Area, the largest free trade area created worldwide since the formation of the World Trade Organization.The Bank continues to monitor market conditions to find the appropriate window to re-launch its initial public offering in London.
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This new injection is a show of confidence in the Bank, says the President Prof. Benedict Oramah who added that “the equity injection reflects the confidence which our existing shareholders have in the Bank and the Bank welcomes their decision to rapidly take up additional equity. We are well positioned to take advantage of our relationships with our member states to provide a platform for trade and investment flows across the continent, delivering returns for the Bank and growth for African businesses.”
Kelechi Deca
Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry