Tanzania: PTA Bank to issue Sh32bn bond to support trade and infrastructure finance

Apr 15, 2015

The subscription period opens today and closes on April 29th.

PTA Bank is to issue a five-year bond to raise Sh32.6 billion (€16.7 million) on the Tanzanian market today (April
15th). The subscription period closes on April 29th.

The objective is to provide project and infrastructure finance, as well as trade finance in Tanzania, The Tanzania Daily News reports.

PTA Bank has issued several bonds on the domestic and international market. In 2012, Fitch Ratings revised the Bank’s outlook from stable to positive and, in 2013, upgraded the international long term rating from BB- to BB with a stable outlook. The upgrade by Fitch ratings was preceded by GCR’s upgrade in 2012 from BB to BB+.

In 2010, the bank launched a eurobond which was twice oversubscribed. Standard Bank and HSBC were the joint book-runners.

Andrew Dell of HSBC said in a PTA Bank press release: "This is a very important transaction for both the issuer and Africa more broadly. Development and trade finance has huge impact on the real economy and hence is a significant enabler of economic growth in and of itself."ADNFCR-2976-ID-801783614-ADNFCR