OCP Successfully Closes Mad 5 Billion Bond Offering With Strong Investor Interest
Rabat – Moroccan fertilizer giant OCP Group has successfully concluded a public offering for perpetual subordinated bonds, raising a MAD 5 billion, Maghreb Arab Press reported.
The group’s issuance featured different options for early repayment and deferred interest payments.
According to details released in a press statement available on the Moroccan Capital Market Authority (AMMC) website, investor demand exceeded expectations.
A total of 70,680 perpetual subordinated bonds were requested, reaching a subscription sum of over MAD 7,068 million. This translated to an oversubscription rate of 141%, underscoring the market’s confidence in OCP Group.
The breakdown of the bond tranches revealed varying facial interest rates. Tranche “A,” subject to annual revision, carries a facial interest rate of 3.7%, augmented by a risk premium of 60 basis points.
Meanwhile, Tranche “B,” subject to revision every 10 years, features a facial interest rate of 4.77%, with a risk premium of 70 bps.
Tranche “B,” revisable at 15 years for the initial period preceding the first repayment option date, boasts a facial interest rate of 5.49% for the first fifteen years. This is coupled with a risk premium of 95 bps.
The “D” tranche, revisable every 20 years, carries a facial interest rate of 5.94% for the initial two decades, enhanced by a risk premium of 105 bps.
OCP Group is a prominent player in the global fertilizer and phosphate industry. The company holds a strategic position as a leading phosphate exporter, contributing significantly to the country’s economic growth.
With a commitment to sustainable and responsible practices, OCP has garnered international recognition for its role in ensuring food security through the production of essential agricultural inputs.
Source : Morocco World News
