By Dipo Olowookere Pan-African financial group, Ecobank Transnational Incorporated (ETI), the parent company of Ecobank, has announced the successful raising of $400 million convertible debt placement from existing shareholders. In a statement issued on Friday by the firm, the lender explained that the convertible debt was structured in three tranches. The first, a convertible loan facility of $250 million, according to the bank, was arranged through the Public Investment Corporation (PIC) of South Africa, an institutional shareholder. It said the second tranche consisting of $140 million convertible notes was fully subscribed to by Qatar National Bank (QNB), also an institutional shareholder. ETI stated in the statement that the third tranche of $10 million convertible notes was reserved to shareholders other than the institutional shareholders who participated up to $1.11 million. The remaining balance was subscribed by QNB, bringing QNB\u2019s total participation to both the second and third tranches to $148.89 million, the bank said. It further explained that the second and third tranches of the convertible notes, amounting to a total of $150 million has been listed on the International Securities Market (ISM) of the London Stock Exchange (LSE). The convertible debt due 2022 will have a coupon, reset semi-annually, equal to 3-month USD LIBOR plus 6.46 percent per annum, payable semi-annually in arrears. The debt will be convertible at the option of the holder of the convertible debt who is also an ETI shareholder into ETI ordinary shares at an exercise price of 6 US cents during the conversion period of October 19, 2019 to October 13, 2022 upon the occurrence of a change of control in accordance with the terms of the convertible debt. The debt will be redeemed at 110 percent of principal amount if the conversion option is not exercised, the statement said. It was stated that ETI will use the net proceeds of the placement to primarily refinance maturing debt facilities. Commenting on the development, Ecobank's Group Chief Executive Officer, Mr Ade Ayeyemi, remarked that, \u201cThe firm\u2019s ability to raise this significant amount of capital from our shareholders is a testament to the confidence they repose in the company\u2019s long-term growth strategy. We want to thank all our shareholders for their tremendous support."