Finance Ministry re-opens 2yr and 5yr bonds worth GHS 2.1bn
The Finance Ministry, has reopened its 2 year and 5 year cedi denominated bonds issued on May 9, 2022 and March 14, 2022 respectively.
The two senior unsecured cedi denominated bonds issued this year, are expected to mature on May 6, 2024 and March 8, 2027 respectively.
The reopening or tap issue of the cedi bonds by government, is due to the outstanding amount of GHS 846m for the 2 year bond and GHS 1.27bn for the 5 year bond.
A tap issue is a procedure that allows borrowers to sell bonds or other short-term debt instruments from past issues. The bonds are issued at their original face value, maturity, and coupon rate but are sold at the current market price.
According to the Finance Ministry, the 2 year bond issued at a coupon rate of 21.50%, is opened to resident and non-resident Ghanaian investors.
The 5 year bond issued at a coupon rate of 20.75%, is also opened to resident and non-resident Ghanaian investors.
Bid offers for the bond begun at 9am on Tuesday, August 23 and is scheduled to end at 5pm on Thursday, August 25, 2022.
Per the Ministry, bids for the securities will be accepted on a price basis.
Bond market specialists facilitating the issuance of the 2 year and 5 year bonds are Absa, Databank, CAL Bank, Ecobank, Fidelity, GCB, Black Star, IC Securities and Stanbic.
Gov’t re-opens 5yr dollar bond
A month ago, government reopened its 5 year dollar denominated bond issued on November 19, 2021.
The reopening of the dollar bond by government, was due to the outstanding amount of $264m to be issued.
The dollar bond was issued at a coupon rate of 600 basis points (6%) and was opened to both resident and non-resident investors.
202208 Rep of Ghana Dual Offering Tap Issue of 2 Year Re Opening of Tender 1797 and Tap Issue of 5 Year Re… by Fuaad Dodoo on Scribd
