Awards for Excellence 2020
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With Africa and the world expected to enter a protracted period of low growth, more companies will need to restructure and M&A will become a more dominant trend in the region. Over the last 12 months, Citi has demonstrated its expertise in these fields in Africa and it is Euromoney’s best bank for advisory in Africa this year.
“The biggest challenge for Africa is not to be disconnected,” says Miguel Azevedo, head of Middle East and Africa (ex-South Africa) investment banking. “Our focus is on African companies. We are an agent of access to global capital for truly African companies.”
Citi has an on the ground presence in 16 African countries and coverage of more than 40.
The bank advised on four M&A transactions excluding South Africa and north Africa over the review period, with a total deal value of $1.2 billion. It sits second in the league table behind Evercore.
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Miguel Azevedo |
Despite not making a dent in Africa’s largest market, South Africa, Citi has advised on some of the continent’s landmark transactions, including Seplat’s acquisition of London-listed Elan Oil & Gas, for which it was sole financial adviser and sole underwriter of the associated bridge facility. It also advised on IHS’ acquisition of Cell Site in Brazil, which represents IHS’ first entry into Latin America.
The bank has shown expertise in the region’s financial sector, advising one of its largest clients, Nigeria’s Access Bank, on its acquisition of Diamond Bank. The new entity began operating in April 2019.
It has provided liquidity support for clients during the Covid-19 crisis and is now advising companies on how to address their longer-term solvency issues and bring down their levels of debt.
“Liquidity is all about debt, and that is not the solution,” says Azevedo. “We need to equitize the continent. Africa is long on great opportunities and good management but short on capital. We need to showcase these to meet international investors.”
