The Republic of Côte d'Ivoire (represented by the Minister of Economy and Finance) and MUFG are pleased to announce the successful signing of a new €293.3 million dual tranche financing consisting of a €52.4 million Tied Commercial Loan facility (TCL) and a €240.9 million UK Export Finance (UKEF) supported loan.
MUFG acted as Sole Coordinator, Bookrunning IMLA and Agent on this transaction and are pleased to support The Republic of Côte d'Ivoire on this essential infrastructure project, which comes at a critical stage in the country's efforts to improve public health in the midst of a global health pandemic.
The Republic of Côte d'Ivoire will use the proceeds of this transaction to finance the design, construction and equipping of six hospitals in various locations in the Republic of Côte d'Ivoire, with NMS Infrastructure Limited acting as EPC contractor. Post completion training and technical support will also be provided as part of the project, which will deliver a wide range of modern facilities to broaden the capacity and capability of the health services across the country.
The transaction was successfully syndicated to a diverse group of financial institutions, despite launching during a period of significant volatility and uncertainty in the financial markets resulting from the COVID-19 pandemic. This is testament to the strength of the Republic's investor relationships and the high regard and confidence the market has in the country's economic strength and vision for the future.
Ankit Khandelwal, MUFG's Director of Africa Coverage, commented:
"We are so proud to support the Republic with this transaction, which will make a true difference to the communities of so many people in the region.
"In 2019, MUFG delivered Côte d'Ivoire's issuance of the first ever Social Loan by an African sovereign government, evidencing robust efforts to set world-class standards for governance, transparency and sustainability, and this deal is no different. Congratulations to all involved."
Jean-Marc BROU Conseiller du Premier Ministre Chargé des Questions Financières, said:
"With the support of MUFG, UKEF and all other parties, we have been able to achieve the financial closure of this important project at a competitive pricing.
"The implementation of the project will impact the well-being of over a million people by providing improved health services closer to them. UKEF's ability to provide direct lending was critical to securing this deal."
Emma Wade-Smith, HM Trade Commissioner for Africa, added:
"This record-setting UKEF facility in West Africa demonstrates the UK Government's strong commitment to supporting sustainable economic growth across the African continent.
"It provides a further example of the positive impact that UK companies are making, working in partnership with Governments and the private sector in Africa to spur growth, investment and job creation. It also helps to illustrate the exciting range of opportunities we see for UK companies looking to grow and expand into new markets in Africa."
HE Catherine Brooker, HM Ambassador to Cote d'Ivoire, commented:
"NMSI's project will greatly improve the availability of modern healthcare services in Cote d'Ivoire. Thanks to the UK government's support, through UKEF, UK companies are ideally placed to support infrastructure development in West Africa and to seize the huge export potential that brings."
Frederik Hsu, Chairman of NMSI, said:
"This health infrastructure project will contribute to the continued growth of the economy for years to come and the financing has been realised through the combined efforts of GKB, UKEF, MUFG and the Lenders.
"DIT and UKEF have played an important role in the achievement of our exporting success."
Ashurst, led by Tom Longmuir, acted as legal counsel for the Lenders. KSK Law Firm acted as legal counsel to the Borrower on the Project through a legal team led by partner Zinda Sawadogo. GKB acted as advisors to MOF and NMSI.
Utilising know-how accumulated both in EMEA and globally, MUFG will continue to focus helping to build a sustainable society and attain the UN's Sustainable Development Goals, through the provision of financial services to our clients.