The successful completion of the approximately N52.9 billion Commercial paper issuance by the Nigeria Communication giant MTN in 449 days has revealed the confidence investors reposed in the company. MTN’s Nigeria CEO, Karl Toriola has noted.
According to him, his organization successfully raised N52.9 billion within 449 days as it completed the Series 8 & 9 of its N20 billion commercial paper issuance programme. The Modakeke Prince, and indigenous Chief Executive Officer of MTN Nigeria, Karl Toriola, revealed this while appreciating investors for their unalloyed support as demonstrated in the successful transaction.
The telecommunication giant aimed to raise a total of N52,895,846,000 through both series, and the offer was fully subscribed by investors. It is also noted that the 182-days commercial papers were issued with a yield of 14.00% and the 267-day commercial papers were issued with a yield of 16.00%, whilst the issuance was completed on November 7.
Elated about the swiftness in which the transaction was effected, despite the rising interest rates in Nigeria. He noted that “The transaction was concluded in record time and this could not have been possible but for the unwavering support of our advisers and the investor community.”
Recall that the company earlier raised N125 billion on August 30, 2023, in Series 6&7 of its commercial paper issuance. However, In the face of rising finance costs due to rising interest rates, Nigerian companies have turned to the bond market to raise funds. For example, Dangote Cement Plc also seeks to raise N300 billion through a 9-series commercial paper issuance programme.