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Stanbic raises P150m through bond placement

Tapping the market: Stanbic recently closed its private placement for P150 million with local investors
Tapping the market: Stanbic recently closed its private placement for P150 million with local investors

Stanbic Bank Botswana recently raised P150 million through the private placement of a five-year bond, the second largest debt note the bank has sought under its P2 billion issuance programme.

The latest bond, which carries a 9.15 percent fixed rate and matures in March 2028, was listed on the Botswana Stock Exchange (BSE) last week. With the placement, Stanbic now has nine outstanding bonds issued under its P2 billion programme, which dates back to May 2008.

In a market circular issued by the BSE, Stanbic said the latest bond’s proceeds would be for “general corporate use,” a broad description which analysts said could touch on treasury activities.

Editor's Comment
Time to end informal sector fronting

The Francistown Umbrella Informal Sector chairperson, David Mbulawa, has highlighted this growing concern, revealing that many local traders are using their licences to facilitate the entry of foreign goods into the market at a fee.Fronting undermines the very fabric of our local economy. It allows foreign traders to exploit the system designed to benefit Batswana, using local licences to cross borders and sell goods at prices intended for local...

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