Godsent Ogbebor
Afreximbank Raises ¥81.8bn in Second Samurai Bond Issue
African Export-Import Bank (Afreximbank) has completed its second Samurai bond transaction in Japan, raising ¥81.8 billion (about $527 million) from institutional and retail investors.
The bank’s latest offering, announced in Tokyo on Thursday, surpassed the size of its 2024 debut and drew orders from more than 100 investors, reflecting growing confidence in Afreximbank’s credit and its expanding presence in the yen market.
The fundraising included a ¥45.8 billion three-year tranche in the Regular Samurai segment, priced on November 18 after a series of engagement meetings with Japanese investors ahead of the Tokyo International Conference on African Development (TICAD9).
Afreximbank held non-deal roadshows in cities including Tokyo, Kanazawa, Kyoto, Shiga and Osaka, alongside a global investor call and a two-day market-sounding exercise.
With expectations of an interest rate hike by the Bank of Japan, demand tilted toward shorter tenors, strengthening the three-year tranche. Asset managers, life insurers, corporates and high-net-worth investors accounted for the bulk of subscriptions.
The bank also issued a ¥36 billion three-year Retail Samurai bond on the same day, more than double its inaugural retail issuance of ¥14.1 billion in 2024. It is the first retail Samurai bond to be launched in Japan this year.
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Following an amendment to its shelf registration earlier in November, SMBC Nikko Securities conducted a nationwide demand survey through its branch network, followed by a six-day public offering window.
And increased visibility from Afreximbank’s activities at TICAD9, including an Africa Finance Seminar, also helped strengthen interest.
However, SMBC Nikko served as sole lead manager and bookrunner for both transactions.
Afreximbank’s Managing Director for Treasury and Markets, Chandi Mwenebungu, said the strong demand shows the deepening confidence of Japanese investors.
He added that the bank would continue to expand its footprint in the Samurai market through sustained engagement and partnerships.
Afreximbank, headquartered in Cairo, finances and promotes intra- and extra-African trade. As of December 2024, its total assets and contingencies stood at over $40.1 billion, with shareholder funds of $7.2 billion.
