Absa Bank Limited has received approval from the Johannesburg Stock Exchange for the listing of a new credit and index linked note, designated ASC381, under its Master Structured Note Programme.
According to the listing announcement, the instrument carries a nominal value of ZAR400 million and forms part of Absa Bank’s broader debt issuance programme, which has an authorised size of ZAR100 billion. Following the inclusion of the ASC381 tranche, the total value of notes issued under the programme stands at approximately ZAR86.06 billion.
The note has been classified as a credit and index linked instrument, providing investors with exposure linked to the performance of a specified index while also incorporating credit linked features. The issue price has been set at 100 per cent, with the coupon structure described as index linked.
Absa stated that the instrument will be issued as an unsubordinated and unsecured obligation of the bank. The note is scheduled to mature on 20 June 2036, with the last day to register for participation recorded as 9 June 2036 and the books closed period commencing on 10 June 2036.
The listing was approved under Absa Bank’s Master Structured Note Programme, details of which are available through the bank’s debt investor platform at Absa Investor Relations. The programme is one of the largest structured debt issuance frameworks in South Africa’s capital markets and has been used by the banking group to issue a range of listed debt instruments across different maturities and risk profiles. (MarketScreener UK)
Structured notes have become an increasingly important feature of African capital markets, offering institutional investors, pension funds and asset managers access to tailored risk and return characteristics. In South Africa, the continued development of the listed debt market has provided issuers with additional avenues for capital raising while broadening the range of investment products available to market participants.
The ASC381 issuance highlights the continuing role of domestic capital markets in mobilising long term funding within Africa’s largest and most sophisticated financial centres. While such instruments are primarily targeted at professional and institutional investors, they form part of a wider ecosystem that supports investment flows, liquidity and financial market development across the continent.
Absa Corporate and Investment Bank, a division of Absa Bank Limited, acted as debt sponsor for the transaction.
