Access Bank Redeems $500m Senior Unsecured Eurobond At Maturity

Access Bank Plc, has redeemed its $500 million Senior Unsecured Eurobond, which matured on September 21, 2026.

Access Holdings announced the redemption on Monday, stating that the Eurobond was issued in September 2021 with a five-year tenor and a coupon rate of 6.125 per cent. Since issuance, the Bank has met all semi-annual coupon payment obligations as and when due.

According to the Company, the redemption discharges the Bank’s obligations under the Eurobond and reflects its prudent liquidity planning, robust financial discipline, and strong capacity to meet its funding commitments.

The redemption was funded entirely from the Bank’s own foreign currency liquidity resources, consistent with its asset-liability management framework and the maturity profile anticipated at issuance.

The Company noted that the repayment was incorporated into the Bank’s liquidity management framework and has no adverse impact on its operations or regulatory liquidity requirements.

Speaking on the redemption, the managing director/chief executive officer of Access Bank, Roosevelt Ogbonna said, “this redemption reflects the strength of Access Bank’s franchise, the discipline of our balance sheet management, and our continued commitment to meeting obligations to investors and stakeholders in a timely and transparent manner. Meeting this maturity from our own balance sheet affirms the strength of our funding position and the discipline with which we manage our capital and liquidity.”

Market analysts described the redemption as a positive signal for investor confidence in Nigerian banks’ ability to meet foreign obligations.

A senior broker, Tunde Oyediran said that the move demonstrates prudent asset-liability management at a time when several frontier market issuers face refinancing pressures.

“Funding a $500 million maturity purely from internal FX liquidity without resorting to a new issue shows Access Bank’s dollar liquidity buffer is strong. It de-risks the balance sheet and should be supportive for its credit spreads,” he said.

The national chairman of New Dimension Shareholders’ Association, Mr. Patrick Ajudua noted that timely redemption reinforces trust, saying that “for Eurobond holders, certainty of repayment is key. Access Bank has met every coupon as and when due and now redeemed at maturity. That consistency strengthens Nigeria’s corporate issuer reputation.”