OCP achieves a groundbreaking $1.5 billion hybrid bond issuance, a first for Africa

The OCP Group has successfully completed its inaugural hybrid bond issuance on international markets, raising a total of $1.5 billion.

The operation marks a double first: OCP’s first dollar-denominated hybrid issuance, and the first instrument of its kind issued by an African corporate on international markets, the group said.

It represents a key milestone in OCP’s financing strategy and further underscores its strong standing among global institutional investors.

The issuance drew robust demand, with the order book 4.6 times oversubscribed and participation from 176 investors across 23 countries. Coupons were set at 6.74% for the tranche callable in April 2031 and 7.37% for the tranche callable in April 2036.

Arranged by BNP Paribas, Citigroup, and JPMorgan Chase, the transaction highlights the strength of OCP’s credit profile and its ability to access international capital markets on competitive terms, despite a challenging geopolitical environment.

The hybrid issuance aligns with OCP’s strategy to optimize its capital structure. It enables the group to finance its growth while maintaining investment-grade leverage ratios, supported by favorable treatment of the instrument under IFRS standards (100% equity) and by rating agencies, which grant 50% equity credit at Moody’s and S&P.