FMDQS Exchange Limited has approved the admission for quotation of the MTN Nigeria Communications PLC (“MTN Nigeria” or “the Issuer”) N19.77 billion Series 3 and N53.74 billion Series 4 Commercial Papers under its N200 billion Commercial Paper Issuance Programme on its platform.
Note that Commercial paper is a commonly used type of unsecured, short-term debt instrument issued by corporations, typically used for the financing of payroll, accounts payable and inventories, and meeting other short-term liabilities.
This development was announced on Monday by the Chief Financial Officer, MTN Nigeria, Mr. Modupe Kadiri who stated that “MTN Nigeria is very pleased with the success of our series 3 and Series 4 CP issuances, which further diversify our funding sources, help to optimise our finance cost and strengthen the Nigerian financial markets”.
Speaking further Kadiri said: “The issuance was well received by the market, with strong participation from a diverse group of investors, signifying the market’s continued confidence in our business.
“By quoting these CPs on FMDQ Exchange, we are able to provide investors with a strong platform for liquidity and price discovery. Proceeds from the issuance will be deployed towards the company’s working capital and general corporate purposes”.
Speaking on the recent CP quotation, the Managing Director of Chapel Hill Denham Advisory Limited – a Registration Member (Quotation) of FMDQ Exchange – Mrs. Kemi Awodein, stated that “Chapel Hill Denham Advisory Limited is honoured to have worked with MTN Nigeria as Sole Arranger and Dealer on the Series 3 and Series 4 CP issuances to raise an aggregate amount of N75.1 billion across the two series at competitive rates during a period of unsettling and volatility in the fixed income market.
“This issuance represents the largest CP issuance this year and its success demonstrates the Issuer’s strong credit, leading position in the market and industry; as well as its long-term prospects”.
MTN Nigeria Communications PLC is a provider of connectivity, communication and collaboration solutions, and the largest privately owned mobile operator in Africa, Europe, and the Middle East. The company serves over sixty-one (61) million subscribers with national coverage and a fibre network that reaches every state in the nation.
FMDQ Group is Africa’s first vertically integrated financial market infrastructure group, strategically positioned to provide registration, listing & quotation services, seamless trading, clearing, settlement, risk management, and depository of financial market transactions, as well as data and information services, across the debt capital, foreign exchange, derivatives and equity markets, through its wholly owned subsidiaries – FMDQ Exchange, FMDQ Clear Limited and FMDQ Depository Limited.