Starting Monday, December 2, 2024, creditors holding Ghana’s energy sector bonds are set to receive payments for outstanding debt from ESLA Plc.
This follows an agreement reached last week, where investors consented to an early repayment arrangement.
The move comes just two months after ESLA announced that around 90% of non-sovereign bondholders had tendered their bonds under the domestic debt exchange program.
However, some creditors remain concerned, particularly due to the approaching general elections on December 7.
With the current government under pressure to settle these obligations before its mandate ends on January 7, these buybacks will be made at par value, without interest payments included.
ESLA Plc currently faces an outstanding bond liability of 6.4 billion cedis. Originally, these bonds carried coupon rates ranging from 19.5% to 20.5%.
Following the debt restructuring program last year, these rates were reduced to between 8.35% and 15%, with maturities extended to between 2027 and 2038.
Ghana’s debt restructuring program, initiated in December 2022, is part of efforts to secure an IMF bailout after the country’s mounting debt became unsustainable.
