Ecobank Nigeria Limited has announced a tender offer for the remaining US150 million of its US300 million 7.125 per cent Senior Note Participation Notes due in 2026.

This offer opened on Friday, November 28, 2025, allowing eligible noteholders to tender their securities ahead of the bond’s original maturity date of February 16, 2026.

According to the press release, investors whose notes are accepted will receive US1,000 per US1,000 principal, plus accrued and unpaid interest up to but excluding the settlement date. The transaction is expected to settle on or before December 31, 2025. Ecobank described the tender offer as a continuation of its “proactive approach to liability management,” designed to strengthen capital planning flexibility and maintain a well-structured debt mix in the face of evolving macroeconomic conditions. Participation remains entirely at the discretion of noteholders.

This latest action follows a similar move four months prior, when Ecobank Nigeria redeemed US$150 million, half of the Eurobond, in a strategic liquidity move. That July 2025 buyback was executed through a tender offer and exit consent process and represented a key milestone in the lender’s balance sheet overhaul. The early repayment was made possible by improving cash flows, robust loan recoveries, and early settlement of promissory notes from its parent company, Ecobank Transnational Incorporated. At the time, the bond was trading near par, signalling stable investor confidence in the bank’s creditworthiness.

Previously, bondholders had approved the removal of a capital adequacy ratio covenant attached to the Eurobond. This covenant had been triggered earlier in 2024 after the bank’s CAR fell to 7.65%, below the 10% regulatory minimum for national banks, due largely to naira depreciation.

Since then, Ecobank has been executing a recovery programme centered on profit growth, cost discipline, and capital support from its parent. The bank had previously confirmed its intention to redeem the remaining US$150 million at maturity in February 2026, subject to market conditions, but the new tender offer now speeds up that timeline, enabling near-complete debt retirement two months ahead of schedule.

Ecobank Nigeria’s determination to derisk its balance sheet ahead of 2026 may reduce refinancing uncertainty and maintain investor confidence. With borrowing costs elevated globally and macroeconomic volatility persisting, early liability reduction is seen as a positive signal of liquidity strength. The initiative also creates optionality for investors looking to rebalance portfolios before year-end, while enabling the bank to align its debt profile with ongoing capital recovery efforts.

This appears consistent with the Group, as the parent company, Ecobank Transnational Incorporated Plc, reduced its borrowed funds by 15% to N2.83 trillion as of September 2025, which is equivalent to 6% of total assets, down from 8% in December 2024.

Ecobank Nigeria is one of the four regional pillars of the Ecobank Transnational Incorporated Group, and its performance is closely linked to the broader Group’s financial health. In the third quarter of 2025, the Group delivered one of its strongest quarterly earnings in recent years, with pre-tax profit rising 47% year-on-year to N394.6 billion. Profit after tax maintained the same momentum, climbing 48% to N268.5 billion, even as the bank absorbed higher impairment charges and recorded a one-off loss from discontinued operations.

This strong quarterly performance extended into the nine-month period. ETI closed the first nine months of 2025 with pre-tax profit of N1.01 trillion, representing a 42% year-on-year increase, while profit after tax rose 43% to N702.4 billion. On the cost side, the Group maintained firm discipline, with operating expenses rising by only 3% to N446.2 billion in Q3 2025, a notable achievement given the high inflation and currency pressures across several of its African markets.

At the same time, Ecobank adopted a more cautious risk posture, sharply increasing impairment charges by 64% to N129.7 billion. The balance sheet also reflects resilience, with total assets growing 11% to N47.97 trillion, supported largely by strong customer deposit growth, which rose to N35.68 trillion and accounted for 74.37% of the total balance sheet.