FMDQ Exchange admits Neveah Limited N10bn commercial paper programme on its platform
Corporate institutions have continued to explore alternative financing options by tapping the debt capital market to sustain their business activities and plug capital shortfalls. FMDQ Securities Exchange Limited (FMDQ Exchange) provides access to capital for corporates institutions through its efficient and proficient Securities Admissions Franchise. In demonstration of this, FMDQ Exchange, through its Board Listings and Markets Committee, has approved the registration of the Neveah Limited N10 billion Commercial Paper (CP) Programme on its platform.
The continuous admission of securities to FMDQ Exchange’s platform is reflective of the potential of the Nigerian debt capital market (DCM) and the commendable level of confidence demonstrated by both issuers and investors in the market. Commenting on the successful CP registration, the Chief Executive Officer, Neveah Limited, Mr. Ibidapo Lawal, stated “the programme registration represents a milestone in Neveah Limited’s strategic transformation plan. This opportunity to access an alternative source of funding will help to meet our short-term working capital needs.”
According to the sponsor of the CP Programme and a Registration Member (Quotations) of the Exchange, Mr. Babatunde Ajayi, Head, Capital Markets and Advisory, United Capital PLC (“United Capital”), stated that “United Capital is delighted to act as the Sponsor and Sole Arranger on the Transaction. Neveah Limited is a registered exporter of agro-commodities and minerals with the Nigerian Export Promotion Council (NEPC) and the Company was able to attain an investment-grade rating from Data Pro, enabling its first entry to the capital markets. The approved CP Programme will enable Neveah Limited to tap the DCM. Given the numerous opportunities in the agro-commodities and mineral space, United Capital is committed to the growth of the industry which is largely underdeveloped partially due to access to financing”.
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