ACCRA - The Republic of Ghana, through its Ministry of Finance, has announced the successful completion of a holding period related to its Eurobond exchange offer, which began on September 5, 2024. The exchange offer aimed to restructure Ghana’s outstanding Eurobonds and concluded with the distribution of new notes on Monday.
On October 9, 2024, Ghana settled the exchange offer and subsequently cancelled all old notes involved. The new notes, dubbed "Par New Notes," were distributed to eligible holders who completed the necessary documentation by the holding period termination deadline of December 9, 2024. The distributions included principal and interest payments accrued since the issue date.
Ineligible holders and those who did not participate by the deadline will have their allocated new notes sold by the Holding Period Trustee. The proceeds from these sales, along with a pro-rata distribution of the first amortization and special consideration payments, will be distributed to the relevant holders on the fifth business day after the sales are completed. The net cash proceeds may be lower than the nominal value of the new notes due to market conditions.
The sale and distributions are being conducted in accordance with the terms and conditions outlined in the Invitation Memorandum. Ghana will not be responsible for any further payments beyond the substitute consideration and consent fee, if applicable, and such payments will fully satisfy Ghana’s obligations under the exchange offer.
This financial maneuver is part of Ghana’s broader efforts to manage its debt and is not an offer to acquire or sell securities. The detailed terms of the exchange offer and consent solicitation can be found in the Invitation Memorandum available on the transaction website.
The information in this article is based on a press release statement from the Republic of Ghana.
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