WASHINGTON, D.C., March 9, 1998—On March 6, 1998, the International Finance Corporation (IFC) launched a South African rand 200 million (approximately US$40.3 million equivalent) bond issue under its Global Medium-Term Note program. The 2-year Step-Down notes carry an issue price of 100.875 percent and an annual coupon of 16.25 percent per annum in year one and of 9.50 percent per annum in year two. The proceeds of the issue will be swapped in US dollar floating rate funds.
The lead manager is ABN Amro Bank NV with Caboto and Toronto Dominion Bank as co-lead managers. An additional five financial institutions completed the syndicate group.
This transaction brings IFC’s market borrowing to about US3,400 million for the fiscal year 1998 which began on July 1, 1997.
IFC, a member of the World Bank Group, is the largest multilateral source of financing for private sector companies in developing countries. Its long-term debt is rated triple A by both Standard & Poor’s and Moody’s Investors Service.
