MUFG has won Debt Deal of the Year at the African Banker Awards 2021 for its innovative $520m COVID-19 support facility for leading African trade finance institution Afreximbank.
The African Banker Awards recognise excellence and best practices in African banking. They celebrate the achievements of those who are driving growth and development and creating new economic opportunities for citizens and communities all over the continent.
MUFG was the sole Mandated Lead Arranger, Bookrunner, Agent and NEXI Coordinator on the winning transaction, which closed on 3 December 2020. The 10 year tenor facility supported Afreximbank's Pandemic Trade Impact Mitigation Facility (PATIMFA), which was launched to help African sovereigns, commercial banks and corporates with mitigating the impact of the COVID-19 pandemic. It represented the largest ever loan raised by an African issuer in Japan, with all the funding raised from 19 Japanese investors, many of which were new investors for Afreximbank.
Commenting on the award, Christopher Marks, Head of Emerging Markets EMEA, said:
"We are delighted to have been recognised for this transaction, which aimed to support the region with new investment during an exceptionally challenging period.
"This facility was a result of a solution based approach and close collaboration with Afreximbank and NEXI, and we look forward to continuing to pioneer innovative transactions to support the economic growth of Africa."
Group publisher of African Banker and Chair of the Awards Committee, Omar Ben Yedder stated:
"This was an interesting deal in that it took the African story to a new set of investors, many of them first time investors in African paper. MUFG managed to deliver an innovative blended finance solution and the proceeds will be used by a bank with a track record of delivering change in times of need."
Executive Vice President (Business Development and Corporate Banking), Amr Kamel of Afreximbank stated:
"The successful implementation of this facility is testimony to the great collaboration and innovative approach adopted by the three institutions, MUFG, NEXI and Afreximbank.
"This facility yields strong and sustainable development outcomes, and furthermore assists in the attainment of Afreximbank's development mandate of promoting more diversified trade in Africa."