The Access Bank UK has closed an upsized US$100mn loan facility with 15 lenders from across the world.

The facility was launched in September 2019 at US$50mn but was oversubscribed by more than 280% on the initial amount. This led it to be upsized to US$100mn, with commitments still needing to be scaled back.

The lender group consists of 15 institutions with commitment levels ranging from US$5mn to US$20mn.

The loan has a one-year tenor with extension options available at the borrower’s request and at each lender’s discretion. The margin of the loan is 2.5% per annum over Libor and the proceeds of the facility will be used for general corporate purposes, including trade finance.

London-based alternative financier Africa Trade Finance was the sole-coordinator and bookrunner on the facility. Citi was the facility agent and Dentons acted as the legal advisor.

“With our experience and strong footprint in Sub-Saharan Africa, the Mena region and Asia we are ideally placed to assist in the facilitation of investment and trade in these markets,” says Jamie Simmonds, CEO of the Access Bank UK. “This coupled with our moderate appetite for risk and strong year-on-year growth has been reflected in the level of interest that we have received.”

Christian Karam, director at Africa Trade Finance says: “This is the first syndicated loan to the Access Bank UK and we are pleased with the result. The positive market response is a reflection of the Access Bank UK’s appeal to international investors as well as the borrower’s robust credit profile and strong management.”

The Access Bank UK is a wholly-owned subsidiary of Access Bank, a Nigerian financial services organisation. The Access Bank UK opened the Access Bank UK DIFC Branch in Dubai in 2015, to assist companies in the Middle East looking to trade with and invest in Nigeria, Sub-Saharan Africa and the Mena region.