The Regional Stock Exchange (BRVM) hosted on February 28, 2022, the listing ceremony of the bond loan “FTC Teyliom Immo 7% 2021-2028 (FTIMC.01). The public offering made it possible to raise 20 billion FCFA (30 million euros) at the rate of 7% over a subscription period spread out from May 20 to June 18, 2021. The UCITS subscribed to the volume collected for about 67%. In addition, 56% of subscriptions came from Côte d’Ivoire against 8% for Senegal.
The early closing of the loan, in one week, testifies to the depth of the market and the appetite of investors for these innovative products.
The fundraising thus operated should be used by the Yerim Sow group to partially finance see real estate projects in Côte d’Ivoire and Senegal as part of its development program. The group intends to subsequently mobilize up to 70 billion FCFA on the market with the aim of consolidating its leadership.
The transaction was arranged by Africa Link Capital with Bridge Securities as co-managers and NSIA Finance and NSIA Bank as depositary. The issuer FTC Teyliom Immo 7% received an AAA rating from the WARA rating agency given the robustness of its structure and hedging mechanisms.
It should be remembered that if the market policeman (the CREPMF) has implemented the regulatory framework for securitization since 2010, it will have taken 10 years, i.e. in 2020, to see the first listing of this type of product. The BRVM is thus placed in tune with the most innovative African financial markets in this area.
With the Teyliom loan, the financial center common to the 8 States of the West African Economic and Monetary Union (UEMOA) now has 97 bond lines, including 14 issued by regional institutions, 7 by private individuals and 4 Sukuks.
