[Nigeria] Afreximbank provides Heritage Bank with $150m for expansion

Financial institution African Export Import Bank (Afreximbank) has provided a $150 million funding support for Heritage Bank Limited.

The fund will enable the bank achieve its expansion programmes. Olusola Longe-Okenimkpe, divisional head, corporate communications, said in a statement yesterday that “HBCL Investment Services Limited (HISL), a major shareholder of Heritage Bank Limited, has executed the term sheet for the issuance of guarantee for its $150 million Convertible Bond with the Afreximbank to support Heritage Bank plc in its next phase of growth.”

Meanwhile, Heritage Bank recently acquired Enterprise Bank Limited as part of its market focus and positioning strategy, the underlying essence of the combination was to facilitate the deployment of its retail banking franchise, especially its aspiration of emerging as the bank of choice for small growing businesses.

Afreximbank believes in the uniqueness of the business strategy of Heritage Bank, especially the small growing business focus of the bank, which aligns with the founding mission of Afreximbank. The outcome of recent engagement with a number of institutional investors shows a desirable appetite for the bond issuance, which is scheduled to be completed within a couple of weeks.

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