ALCB Fund Purchases a Portion of the SOLEA Bond Issuance

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The ALCB Fund contributed XOF 2 billion (USD 3.3 million) to the XOF 4 billion (USD 6.6 million) bond sale by La Société de Logistique et d’Exploitation Agricole (SOLEA). The eight-year bond offering has a three-year grace period and a coupon of 7.2%

The deal is one of the few agriculture bond issuances on the African continent and the first agricultural investment made by the ALCB Fund.

The African Fund for Guarantee and Economic Cooperation (FAGACE), a local guarantor, also supported the deal by offering an 80% guarantee to reassure local investors.

The Fund’s goal is to help the growth of African capital markets by encouraging the issuance of primary corporate bonds denominated in local money. The ALCB Fund has made investments thus far.

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