MTN Nigeria Communications PLC Lists N110.00bn Series 1 Fixed Rate Bond on FMDQ Exchange
FMDQ Securities Exchange Limited (FMDQ Exchange), following the due diligence of its Board Listings and Markets Committee, approved the listing of the MTN Nigeria Communications PLC (MTN Nigeria) N110 billion Series 1 Senior Unsecured Fixed Rate Bond (MTN Nigeria Bond) under its N200 billion Bond Issuance Programme on the Exchange’s platform.
MTN Nigeria is Nigeria’s premier 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 77 million subscribers with national coverage and a fibre network that reaches every state in the nation. The Chief Executive Officer, MTN Nigeria, Mr. Karl Toriola said “we are very proud of this landmark transaction, which is the first ever telecommunication bond issued in Nigeria and the largest corporate bond issuance in 2021. The Nigerian debt capital market has given us the opportunity to diversify our funding sources further and enabled us to extend the maturities of our debt portfolio to match infrastructure investments. Investors’ strong support for this transaction, given the challenging economic environment, is a reflection of their confidence in MTN Nigeria’s long-term strategy, the management team, the depth of the market, and the overall growth in the telecommunications industry, and we do appreciate the support”.
Speaking on the successful bond issuance, the sponsor of the bond and a Registration Member (Listings) of the Exchange, Chapel Hill Denham Advisory Limited, represented by the Chief Executive Officer, Mr. Bolaji Balogun, stated “the firm is honoured to have led the successful Series 1 bond issuance of N110 billion working with the six joint Issuing Houses. The Series 1 bond was oversubscribed and strongly supported by robust demand from over 200 investors, which included Pension Funds & Asset Managers, Banks, Family Offices and High Net worth Individuals. This issuance is the largest corporate debt transaction this year and its success demonstrates MTN Nigeria’s strong credit profile, leading position in the market as well as its long-term prospects”.
The admission of this Bond to FMDQ Exchange is reflective of the potential of the Nigerian DCM and the commendable level of confidence demonstrated by both issuer and investors, and also validates the efficient processes and integrated systems through which FMDQ Group has sustained its service delivery to the market and its diverse stakeholders.
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