Lagos-based financial advisory firm, Iron Global Markets, has co-raised a $110 million debt financing solution for cement giant Dangote Cement Plc amid one of Nigeria’s worst liquidity crunches in recent times.
Acting as a co-dealer, Iron Global raised N83.3 billion ($110 million) for the cement maker through a landmark commercial paper (CP) issuance comprising two series with varying tenors.
The commercial paper issuance comprised two series: series 8 valued at ₦41.3 billion with a tenor of 184 days and series 9 amounting to ₦42 billion with a tenor of 254 days.
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The CP issuance opened on July 5, 2023, and closed on July 14, 2023, after a strong uptake from institutional investors in Nigeria.
This financing feat in the face of tight monetary conditions underscores Iron Global’s reputation for structuring deals that unlock strategic capital to empower African corporates.
The proceeds will provide Dangote Cement with a boost for expansion of production capacity across Africa just as many countries undertake post-pandemic infrastructure development.
Jubril Enakele, CEO of Iron Global Markets, emphasised that this deal signifies one of the largest corporate Commercial Paper issuances in Nigeria this year.
“We take pride in our collaboration with Stanbic, key industry stakeholders, and investors on this innovative solution, which positions Africa’s leading cement manufacturer for substantial growth despite market challenges,” he stated.
The success of the CP issuance, which saw strong participation from major institutional investors, highlights Iron Global’s astute grasp of intricate African markets.
