Media & News

Vantage Capital Arranges a R1 billion Domestic Medium Term Note Programme for Trustco Group Holdings Limited

Vantage Debt Capital Markets, a subsidiary of Vantage Capital Group, a leading black empowered fund manager, has successfully arranged with Standard Bank, Trustco Group Holdings Limited’s inward-listed R1 billion Domestic Medium Term Note Programme (“DMTN”).

This is the first Namibian corporate DMTN Programme to be listed on the Johannesburg Stock Exchange.

Ashley Benatar, Managing Director of Vantage Debt Capital Markets, who had previously led the first inward bond programme listing by a Botswana corporate, said “Vantage is proud to be associated with the development of African debt capital markets. Arranging the first inward-listed bond programme for a Namibian corporate with the participation of the World Bank is a significant achievement for us. We look forward to building the JSE as a major hub for African corporate issuances once dollar-denominated listings are permitted. We expect these regulatory changes to be made shortly.”

The International Finance Corporation, a member of the World Bank Group on Monday announced that it will purchase the first R200m of the company’s notes. The funds will be utilised to support Trustco’s student lending activities in Namibia and expand their micro insurance offering into new countries in Sub-Saharan Africa. The IFC’s investment will enhance access to higher education and affordable insurance.

The investment by the IFC sends a strong signal about the strength of Trustco’s business model and its prospects for expansion in Africa. By supporting Trustco’s corporate bond programme, the IFC is further encouraging deeper capital markets, which is critical to the development of Africa’s corporate sector.

Trustco is a Namibian based company with a focus on micro financial services to previously excluded communities, including micro insurance and micro finance for educational purposes. In South Africa Trustco runs a micro-insurance business, Yambu, which offers funeral and legal cover through its 55 branches that were recently opened. In Namibia, it offers micro insurance, micro finance for educational purposes and also has a large property portfolio. Trustco has a dual listing on the Namibian Stock Exchange and the main board of the Johannesburg Stock Exchange.

Vantage Capital Group is a majority black-owned fund management group with over R3 billion under management. With offices in Johannesburg and Cape Town, it is Africa’s leading mezzanine debt provider with R1.5 billion of investments in a variety of sectors including chemicals, media, catering and outsourcing, steel and logistics. Earlier this year, Vantage committed $30 million to one of Ghana’s leading independent power producers, Genser Energy, which is in the process of completing the construction of a 30MW power plant in Chirano in western Ghana. This month, Vantage invested R90 million in Reatile Timrite, a provider of timber and other support products to South African gold and platinum mines.

Ashley Benatar, Managing Director
Vantage Debt Capital Markets
+27 11 530 9100