BANK OF INDUSTRY (BOI) CONCLUDES ANOTHER EURO1 BILLION
LANDMARK TRANSACTION

The Bank of Industry is pleased to announce the successful completion of a landmark EURO 1 billion Guaranteed Senior Loan Facility.

KAYODE PITAN… MD

The successful close of this deal has further enhanced BOI’s capacity to deliver on its mandate which is in
line with President Muhammadu Buhari’s economic diversification agenda.

The Initial Mandated Lead Arrangers (IMLAS) and Underwriters for the senior phase of the transaction led
and coordinated by Africa Finance Corporation (“AFC”) and Standard Chartered Bank include: Absa Bank
Limited (acting through its Corporate and Investment Banking division). First Abu Dhabi Bank PJSC, FirstRand
Bank Limited (London Branch). acting through its Rand Merchant Bank division. Mashreqbank PSC.
Nedbank Limited, London Branch, SMBC Bank International Plc. African Export-import Bank (“Afreximbank)
is the Agent Bank. A syndicate of financial institutions arranged by the IMLAS has indicated strong interest
in participaing in the general phase of the ongoing syndication. BOI has an option to increase the facility size up to EURO 1.5 billion after the general syndication.

The deal is quite unique and the first of its kind by any financial insitution in Nigeria both in terms of its size and structure. The transaction structure leverages the strong investment grade credit rating of AFC (rated A3 with a Stable Outlook by Moody’s) to wrap and credit-enhance 8OI thereby benefitting from favourable terms that would otherwise not be available especially in these highly volatile markets. The pricing of this deal was quite attractive at 3 months Euribor (floored at zero) + 1.65% per annum, as a result of this
innovative structuring. At a time when international capital markets are shut to many borowers and when capital is prohibitively expensive, through this innovative transaction structure and the AFC Guarantee, BOI was not only able to raise liquidity but also able to diversify its funding sources and attract new lenders.

This is the 5th time BOI has successfully raised funds in the international markets since 2018. With the conclusion of this transaction total funds raised by BOI from 2018 to date is in excess of $5 Bilion.

The proceeds of this deal, like in our previous fund raising transactions, will be ufilized to provide much needed medium to long term finance to Nigerian MSMEs and Large Enterprises with bankable transactions at affordable Naira interest rates.

Between 2015 and 2021, the Bank of Industry with the support of its various stakeholders disbursed over 1.2 Trilion to 4,205.920 enterprises. thus creating over 9.048.444 million estimated direct and indirect jobs.

The Board, Management and entire staff of the Bank would like to express their profound appreciation for the unflinching support of our majority shareholders – the Federal Ministry of Finance Incorporated and the Central Bank of Nigeria (CBN). We also express deep appreciation to the Federal Ministry of Finance Budget and National Planning and our supervising ministry, the Federal Ministry of Industry, Trade and Investment. The Governor of the Central Bank of Nigeria and the CBN Committee of Governors supported
BOI by providing a full guarantee to facilitate the AFC guarantee and a 100% currency swop to mitigate the foreign exchange rate risk.

August, 2022