TBC Bank Group recently announced the issuance of a USD 200 million bond, with the aim of supporting TBC Uzbekistan’s growth. Denominated in Uzbek sum and settled in USD, this synthetic three-year bond features a 22% Uzbek sum coupon rate and is planned for several tranches. The initial tranche will provide an immediate injection of USD 140 million, while the remaining USD 60 million will be sourced over the next 12 to 18 months. Traded on the Vienna Multilateral Trading Facility (MTF), these notes have demonstrated high demand, indicating continued investor confidence in TBC Bank Group’s strategy and interest in Uzbekistan.

How Will TBC Uzbekistan Utilize the Capital?

The funds from this bond issuance will help TBC Uzbekistan capitalize on its current growth trajectory. By expanding their product offerings, particularly through digital banking, they aim to diversify into SME (Small and Medium-sized Enterprises) banking and lending. This new capital injection is expected to accelerate the development of TBC Uzbekistan’s digital banking ecosystem in Uzbekistan. Additionally, TBC Uzbekistan includes three fintech businesses: a digital bank named TBC UZ, Payme, an app for individual and small business payments, and Payme Nasiya (Payment Instalments), which offers installment credit services.

According to representatives from TBC Bank Group, the strong demand for these notes highlights synergies within the publicly listed group. This bond issuance supports their progress in Uzbekistan and is expected to boost their performance. Following this announcement, two months ago, TBC Uzbekistan launched a fully digital lending solution for SMEs and individual enterprises as part of TBC Business. This new product provided short-term business loans up to approximately USD 23,000 over a three-year period.