Angola announced the results of its tender offer for its 2028 and 2029 Eurobonds and said it will pay bondholders $750 million to repurchase part of the debt while issuing additional longer-dated bonds to ease pressure on public finances.
The Southern African oil producer invited holders of $1.75 billion 8.25% notes due in 2028 and $1.75 billion 8% notes due in 2029 to sell the bonds back before maturity.
To finance the buyback, Angola issued $1.5 billion in new bonds that were added to its existing 2031 and 2037 series, carrying interest rates of 9.244% and 9.875%, respectively.
Deutsche Bank and J.P. Morgan managed the transaction.
Angola’s move reflects a broader pattern among African oil-producing countries. The Republic of Congo bought back most of its 2032 international bond last week and replaced it with new debt maturing in 2036 as part of efforts to extend repayment timelines.
Higher oil prices have given both governments more financial space, allowing them to restructure debt and push repayment obligations further into the future.
source: www.zawya.com
African Energy Council