Emerging Africa Capital Advisory Limited has disclosed the successful subscription of its Commercial Paper (CP) issuances, reaching an outstanding over-subscription rate of 125 percent.
The company embarked on a venture to raise N2.5 billion through its “Series III – 180 days” and “Series IV – 268 days” Commercial Paper Issuances and succeeded in raising N3.114 billion are part of its registered N15 billion Commercial Paper Programme with the FMDQ Securities Exchange Limited.
The Commercial Paper issuance achieved over-subscription by qualified institutional investors, including leading asset managers, trustees, and insurance companies.
This remarkable level of subscription underscores the strong confidence that investors have in the company’s impressive profile and the capabilities of its management team in delivering value to stakeholders.
Toyin F. Sanni, Executive Vice Chairman and Group Chief Executive Officer of Emerging Africa Capital Limited, expressed delight with the overall outcome of the Commercial Paper Issuance.
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She emphasised the calibre of investors that participated in the issuance and highlighted the company’s strategic intent to establish a reputable track record in accessing funding from the Nigerian debt capital market through successive series under the N15 billion Commercial Paper Programme.
She also extended her gratitude to FMDQ, the dealers, and investors for contributing to the success of the Series III and Series IV Commercial Paper Issuances.
Additionally, Emeka Anazodo, the firm’s Chief Financial Officer shared his satisfaction with the considerable investor interest generated by the offer. “The issuance will enable the company to diversify its financing mix and address short-term working capital requirements effectively”.
Emerging Africa Capital Advisory Limited acted as Lead Arranger & Dealer whilst Afrinvest Capital Limited, CardinalStone Partners Limited, Coronation Merchant Bank, and Nova Merchant Bank were Joint Arrangers on the commercial paper transaction.