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NGX alive as MTN Issues N127 billion Series 1, 2 Commercial Papers

As a way of consolidating leadership in the Nigerian Exchange Limited (NGX) and boosting investors confidence, MTN Nigeria Communications PLC., Monday, April 25, 2022, issued a historic N127,000,000,000 Series 1 & 2 Commercial Paper.
The telecom giant said the Issuance is in line with the Company’s strategy to diversify its financing options, with the proceeds being deployed towards working capital and general corporate purposes.
The issuance is under MTN Nigeria’s registered N150 billion Commercial Papers Programme.
The MTN Commercial Papers notification to the NGX shows that the Issuance comprised two tenors – a 184-day Serie issuance priced at a 7.50% yield and a 254-day Series 2 issuance priced at an 8.50% yield.
Parties in the issuance included Stanbic IBTC Capital Limited acting as Lead Arranger and Dealer, while Chapel Hill Denham Advisory Limited, Coronation Merchant Bank Limited, FBNQuest Merchant Bank Limited, FSDH Capital Limited, Standard Chartered Capital & Advisory Nigeria Limited and UCML Capital Limited acted as Joint Dealers.
Speaking during the signing ceremony on Monday, Mr Karl Olutokun Toriola, Chief Executive, MTN Nigeria, said the Company was delighted to have successfully concluded what will go into the record books as the largest Commercial Paper issuance in Nigeria.
“The success of our CP Issuance is a clear demonstration of the strength and acceptance of the MTN brand, and the trust placed by the investor community in our company’s leadership, strong financial performance and corporate strategy.
“Having emerged as one of two winners for the 5G spectrum recently auctioned by the Nigerian Communications Commission and also having just been granted final approval by the Central Bank of Nigeria for Momo Payment Service Bank Limited to commence operations license, this landmark issuance represents yet another step towards our cementing MTN Nigeria’s leadership in Nigeria’s telecommunications sector.
“First and foremost, we thank our customers and the investor community for their continued support and confidence in the MTN brand and all it stands for. We thank Stanbic IBTC Capital, our Lead Arranger and Dealer on this landmark CP Issuance, and our Joint Dealers – Chapel Hill Denham, Coronation Merchant Bank, FBNQuest Merchant Bank, FSDH Capital, Standard Chartered and UCML Capital. We also thank all other professional parties to the transaction, who worked tirelessly to ensure its timely and successful completion and the board and management of FMDQ Securities Exchange for providing an efficient platform for raising short term funding via the issuance of commercial papers”, he said.