NCB bond offer draws $11.06b, blowing past target by nearly two-thirds

Investment bank, NCB Capital Markets Limited (NCBCM) has closed a bond offer for NCB Financial Group Limited (NCBFG), attracting $11.06 billion in subscriptions against an initial target of $6.80 billion — exceeding the target by roughly 62.5 per cent.

“The response demonstrates the depth of capital available in Jamaica and the appetite among investors for well-structured opportunities,” said Angus Young, CEO of NCB Capital Markets and EVP, corporate & investment banking at National Commercial Bank Jamaica Limited. “Transactions of this scale demand deep market expertise and disciplined execution, and our investment banking team has demonstrated its ability to structure and execute complex transactions successfully.”

Following the allocation process, NCBFG exercised its option to upsize the offer, with approximately $10.21 billion ultimately allocated to investors, drawing participation from both corporate and retail investors.

The bond comprised three Jamaican-dollar senior unsecured corporate tranches. Tranche A carries a coupon of 7.25 per cent per annum and matures January 31, 2028; Tranche B carries 8.50 per cent and matures July 31, 2029; and Tranche C carries 9.50 per cent and matures July 31, 2031. Interest is payable semi-annually, with principal due in full at maturity. Proceeds were used for debt refinancing.

NCBCM served as lead arranger and broker, executing the transaction through to close and allocation. The offer was structured as a private placement under the Financial Services Commission’s exempt distribution framework for highly rated debt securities. It opened on June 29, closed on July 30, and the bonds were issued on July 31.

The close adds to a string of capital market transactions executed by NCBCM, as Jamaican companies and institutions increasingly turn to the market alongside traditional financing channels to meet funding needs.

NCB Financial holds $273.6 billion in consolidated capital as at June 2026, representing a 14 per cent, or $33.7-billion increase over the prior year. “The increase was driven primarily by higher reserves, the disposal of treasury shares and the contribution from retained earnings,” stated the group in its financials released in August.

The group generated $8.2 billion in net profit for the June quarter, or flat with year- earlier levels.

business@gleanerjm.com