FMDQ admits N200bn MTNN CP, Dangote Cement 

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Despite the economic downturn and realities of the COVID-19 pandemic, Dangote Cement Plc and MTN Nigeria Communications Plc have raised the largest corporate bond and commercial papers of N100 billion each and listed on the FMDQ Holdings Plc.

FMDQ Holdings admitted for listing, the Dangote Cement N100 billion Series one Bond under its N300 billion Bond Programme, and for quotation, the MTN Nigeria Communications N100 billion Series one and two Commercial Paper (CP) notes under its N100 billion CP Issuance Programme, both on the Exchange’s platform.

Speaking on this milestone, the chief executive officer of MTN Nigeria, Mr Ferdinand Moolman, noted that the N100 billion MTN Nigeria CPs issued and quoted on FMDQ Securities Exchange represent the largest debut CP issuance by a Nigerian corporate.

According to him, this issuance will allow MTN Nigeria to broaden its sources of funding; combining its established lines of credit with access to capital market funding, which will lower the Company’s overall cost of borrowing.

As the sponsor of the MTN Nigeria CPs on FMDQ Securities Exchange, the chief executive officer of Chapel Hill Denham, Mr Bolaji Balogun, added that “Chapel Hill Denham is proud to have acted as Sole Arranger to MTN Nigeria on its debut N100 billion CP issuance and programme.

“This landmark transaction for MTN Nigeria, was many times over-subscribed and priced tightly, indicative of the issuer’s strong rating with investors. Chapel Hill Denham is pleased to have introduced an important new issuer into Nigeria’s debt market, attracting participation from a diverse orbit of eligible individual and institutional investors.”

Speaking on this great achievement, the chief executive officer of FMDQ Group, Mr Bola Koko, expressed his delight on the admission of these securities to FMDQ Exchange and FMDQ Depository, and the wider implication for the market.

According to him, the market has been yearning for corporate benchmarks for pricing and valuation of securities in the debt capital market, and coming at a time when the resilience of the Nigerian financial market is being tested by the impact of the COVID-19 pandemic is even more commendable.

“The success of these issuances by the premier and largest business conglomerate in Africa, Dangote Industries, through its subsidiary, Dangote Cement, and the debut made into the Nigerian debt capital market (DCM) by MTN Nigeria Communications, lay credence to the untapped and great potential of the Nigerian capital market to support sustainable development in Nigeria, and the confidence of investors, as well as the commitment of FMDQ Group to empower the markets to deliver prosperity to Nigeria and Nigerians.”

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