FMDQ lists LAPO MFB’s N6.2bn Bonds
FMDQ OTC on July 28, 2020 successfully listed on its platform, the LAPO Microfinance Bank Limited (MfB) SPV PLC N6.2 billion 13% Fixed Rate Series II Senior Unsecured Bonds.
This according to the company remains a commendable development characterised by the towering levels of confidence demonstrated by both issuers and investors as they continue to tap the market to meet their short- and long-term business and investment objectives, respectively.
A premium microfinance institution in Nigeria, LAPO returned to the Capital Market for the second time in 2020 for a N6.2 Billion debt capital raising through bonds issuance. The bonds were oversubscribed by N.2bn, an unprecedented feat in the subsector, in spite of market uncertainties.
This shows a demonstration of confidence by investors given the strong corporate governance and fundamentals of the Microfinance Bank.
Cynthia Ikponmwosa, managing director, LAPO Microfinance Bank reiterated that, “LAPO Microfinance Bank Limited remains committed to its goal of economic empowerment of low-income households through access to finance. This additional capital will be deployed to enhance our capacity to meet the needs of micro and small enterprises, especially actors in the rural economy”.
The success of this journey is largely due to the support of African Local Currency Bond (ALCB) Fund (two-time anchor investor) and other parties to the Issue; FBN Quest Merchant Bank and Coronation Merchant Bank who served as Lead and Joint Issuing House/Book Runner respectively.
LAPO Microfinance Bank Limited is already standing by owners of micro and small enterprises who are determined to overcome the set-back of the COVID-19 pandemic. In the months of January to July the microfinance bank delivered N59.4 billion to micro and small enterprises.