InfraCredit Repays $28.93M Early, Strengthening Financial Flexibility
InfraCredit Plc has fully redeemed its 7.246% Redeemable Cumulative USD Preference Shares held by Africa Finance Corporation (AFC). The transaction, completed ahead of schedule, involved the repayment of approximately USD 28.93 million in money. This move marks a key step in simplifying the company's capital structure and reducing foreign-currency liabilities.
The redemption covered 9,952,067,699 units of the preference shares, including about USD 1.65 million in accrued and unpaid dividends. By retiring these shares, InfraCredit has eliminated a layer of quasi-debt from its balance sheet. This reduces fixed foreign-currency obligations and strengthens its financial position.
AFC, which previously held the USD-denominated preference shares, has now exited this instrument. However, the corporation remains a major shareholder in InfraCredit through its 4.36 billion ordinary shares. The transaction does not affect AFC's broader equity relationship with the company.
The early redemption improves InfraCredit's long-term financial flexibility. It allows the company to focus on supporting local-currency infrastructure bonds and credit enhancement deals. The move also settles a long-standing USD obligation, further stabilising the firm's financial foundation.
With the preference shares fully redeemed, InfraCredit no longer carries this USD-denominated finance. The company's balance sheet is now stronger, and its capital structure is more streamlined. This positions InfraCredit to continue its role in financing infrastructure projects without the burden of fixed foreign-currency payments.
Read also:
- India's Agriculture Minister Reviews Sector Progress Amid Heavy Rains, Crop Areas Up
- Sleep Maxxing Trends and Tips: New Zealanders Seek Better Rest
- Over 1.7M in Baden-Württemberg at Poverty Risk, Emmendingen's Housing Crisis Urgent
- Cyprus, Kuwait Strengthen Strategic Partnership with Upcoming Ministerial Meeting
