MTN Nigeria Raises Additional N72bn at Range of 27.50% – 29%

MTN Nigeria Raises Additional N72bn at Range of 27.50% – 29%

MTN Nigeria Plc has successfully raised additional N72.18 billion from commercial paper sales to investors in the debt capital market. This is in addition to N75 billion earlier raised in the market last month.

The telecom company told the Nigerian Exchange in a regulatory filing that the amount was raised from its Series 13 and 14 commercial paper issuance under the company’s N250 billion programme.

MarketForces Africa reported that MTN Nigeria sought to raise N50 billion, but the offer recorded a 144% over subscription with N72.18 billion issued.

The 180-day and 270-day commercial papers were issued at yields of 27.50% and 29.00%, respectively, with an issue date of Friday, 29 November 2024.

This follows the N75.18 billion commercial paper issued on 7 November 2024, demonstrating investor confidence in the management and financial performance of MTN Nigeria. The company said the proceeds will be used to support short-term working capital requirements.

Commenting on the development, MTN Nigeria’s Chief Executive Officer, Karl Toriola, said: “We are pleased with the support received from the investor community, having recorded 144% subscription with participation from a broad range of investors.

“This further reinforces MTN Nigeria’s financial position, brand strength, and market leadership amidst the challenging macro conditions.”

The deal was supported by Stanbic IBTC Capital Limited, which acted as the Lead Arranger and Dealer, with CardinalStone Partners Limited, Chapel Hill Denham Advisory Limited, Cordros Capital Limited, Coronation Merchant Bank Limited, FCMB Capital Markets Limited, Meristem Capital Limited, Quantum Zenith Capital & Investments Limited, and Rand Merchant Bank Nigeria Limited as Joint Dealers. Africa Prudential Hits 52-week High