AFG Capital Ltd has proudly announced its pivotal role in Gabon’s triumphant re-entry into international bond markets. As the government’s exclusive financial advisor, the firm orchestrated a landmark sovereign bond issuance totaling $920 million—a transaction that drew exceptional demand from institutional investors worldwide.
This achievement underscores AFG Holding’s prowess, channeled through its subsidiary AFG Capital, in structuring high-stakes sovereign deals across Africa. The operation’s arrangers included Cygnum Capital and Citigroup Global Markets, with White & Case serving as legal counsel for the Gabonese state. Together, they delivered a transaction that not only reshaped Gabon’s financial standing but also positioned AFG Capital as a go-to partner for African governments and private entities seeking large-scale financial structuring.
The Gabonese Ministry of Economy, Finance, Debt Management, and Cost-of-Living Control confirmed the deal’s overwhelming success on July 30, revealing the bond was oversubscribed by a significant margin. This enabled Libreville to exceed its initial target of $750 million, ultimately raising an additional $170 million. The surge in investor confidence reflects renewed trust in Gabon’s economic trajectory and the reforms outlined in its National Growth and Development Plan (2026–2030), which aims to restore macroeconomic balance and accelerate economic diversification.
Key terms of the bond issuance
The seven-year bond, carrying a 9.375% coupon, includes a three-year grace period before amortization begins, extending its maturity to 2033. Proceeds will fund critical public investment projects and help settle outstanding state arrears, in line with the 2026 revised budget law. A pivotal factor in the deal’s success was the pre-launch roadshow conducted with international institutional investors—a strategy championed by President Brice Clotaire Oligui Nguema.
Gabon joins a wave of CEMAC bond issuances
Gabon’s return to international markets aligns with similar moves by neighboring CEMAC states this year. Cameroon raised $750 million in January, followed by the Republic of the Congo with an $850 million issuance in May. Gabon now stands as the third Central African nation to tap global markets in 2026, signaling a regional trend toward fiscal re-engagement with international investors.
Meanwhile, Libreville continues technical discussions with the International Monetary Fund (IMF). An IMF review mission is slated for September, paving the way for a potential economic and financial program by year-end—further evidence of Gabon’s commitment to sustainable reform.
