SKLD Integrated Services issues N1.5bn Commercial Paper

SKLD Integrated Services Limited (SKLD) has successfully issued it’s series II, III, IV and V Commercial Paper (the Transaction) totalling N1.51billion (N378million for 180 days and N1.147billion for 270 days tenor).

As of March 2023, all subscribers from the Company’s commercial paper issuance debut in 2022 have been redeemed and repaid.

In the past year, SKLD drove impressive traction of 70 percent turnover growth, and 50 percent customer growth in its humanitarian aid supply segment.

It also drove 30percent growth in client coverage per city in Nigeria, and 32percent growth in the number of cities per school coverage.

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The Company leveraged its e-commerce platform, further expanded its retail footprint, and diversified its product/service offerings to cater to a more robust segment including office and lifestyle categories.

Signalling its commitment to pursuing growth opportunities and creating superior value for its shareholders and customers.

In addition, the Company expanded its local production facility and began catering to other non-educational sectors. SKLD also deepened its presence in the humanitarian/relief product supply, catering to Non-Governmental Organisations (NGOs), humanitarian, donor and social impact organisations that fund, support and operate initiatives targeted at Internally Displaced Persons and the camps where they reside.

Adetayo Osiyemi, Deputy Managing Director of SKLD Integrated Services Limited, said: “The successful issuance of Commercial Paper series II, III, IV & V confirms SKLD’s commitment to pursuing growth opportunities and creating superior value for its shareholders and customers. We remain steadfast in our objective to unlock value for our stakeholders, while deepening penetration across our different strategic business units.”

SKLD’s impressive growth and diversification demonstrate its ambition to harness the Nigerian capital market in funding its operations and strategy.

The Company’s belief in the Nigerian debt capital market was evident in its recent N2.2 billion series II, III, IV & V commercial paper issuance programme. This was sponsored by Afrinvest Capital Limited and Coronation Merchant Bank Limited as the Joint-Issuing Houses.

By tapping into the domestic capital market, SKLD was able to access capital at a significantly lower rate, which can now be invested in its working capital to meet the company’s strategic objectives of catering to a more robust market segment across a wide range of uses and consumption cases, as well as driving the company’s growth trajectory for the foreseeable future.