- Ecobank Turns to Global Debt Markets With Nature Notes Plan
Ecobank Transnational Incorporated, the parent company of Ecobank Group, is preparing to raise fresh funds from the international debt capital markets through the proposed issuance of Fixed Rate Reset Tier 2 Nature Notes.
The Lomé-based banking group notified the Nigerian Exchange Limited, the Ghana Stock Exchange and the Bourse Régionale des Valeurs Mobilières that the proposed issuance will be carried out under United States Securities and Exchange Commission Rule 144A and Regulation S.
The transaction, if completed, will mark another step in ETI’s use of international capital markets to optimise its capital structure, refinance existing obligations and deepen its sustainable finance profile.
According to ETI, the net proceeds from the proposed notes will be used to finance a concurrent any-and-all tender offer for its existing US$350 million 8.750% Tier 2 notes due June 2031.
The group said it will also allocate an amount equivalent to the full net proceeds of the new notes to finance or refinance, in whole or in part, eligible assets under its Green Bond Framework, as amended and supplemented from time to time.
ETI intends to list the notes on the London Stock Exchange, with the expectation that they will trade on the exchange’s regulated market.
The proposed issuance remains subject to prevailing market conditions and the completion of the required transaction documentation.
The move comes at a time when African financial institutions are increasingly turning to hybrid capital, sustainability-linked instruments and thematic debt issuance to support balance sheet growth, strengthen regulatory capital and meet rising investor demand for environmental, social and governance-aligned assets.
For ETI, the transaction carries both capital management and sustainability implications. A successful issuance would allow the group to refinance existing Tier 2 debt while aligning proceeds with eligible green assets, potentially broadening its appeal to global investors seeking African financial sector exposure with a sustainability lens.
Tier 2 instruments are commonly used by banks to strengthen supplementary capital buffers, supporting regulatory capital adequacy and balance sheet resilience. For a pan-African banking group operating across multiple jurisdictions, such capital instruments can provide flexibility as lending demand, risk-weighted assets and regulatory expectations evolve.
ETI is the parent company of Ecobank Group, which operates in 34 African countries, employs about 14,000 people, and serves more than 30 million customers across consumer, commercial and corporate banking. The group also has a banking affiliate in France and representative offices in London, Dubai and Beijing.
The group provides banking products and services including deposit accounts, loans, cash management, advisory, trade finance, securities, wealth and asset management.
ETI is listed on the Nigerian Exchange in Lagos, the Ghana Stock Exchange in Accra and the Bourse Régionale des Valeurs Mobilières in Abidjan.
For investors, the proposed notes will be watched for pricing, demand, tenor and market reception, particularly given the broader interest rate environment and investor appetite for African bank credit.
The announcement also reinforces Ecobank’s positioning as one of the continent’s most regionally diversified financial institutions, with a funding strategy that links capital optimisation to sustainability finance.
