• Wednesday, February 21, 2024
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MTN raises N72.1bn from commercial paper issuance

MTN raises N72.1bn from commercial paper issuance

MTN Nigeria Communications said it has raised N72.1 billion through its 266-day commercial paper (CP).

“MTN Nigeria Communications Plc (MTN Nigeria) hereby notifies the Nigerian Exchange Limited and the investing public of the successful completion of its Series 10 Commercial Paper issuance under its upsized N250 billion Commercial Paper Issuance Programme (the “CP Issuance”),” it said in a statement.

MTN Nigeria sought to raise N72.1 billion and the offer recorded 149 percent subscription with N72.1 billion issued. The 266-day commercial paper was issued on 29 November 2023 at a yield of 16 percent.

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The CP Issuance aligns with MT Nigeria’s strategy to continue diversifying its funding sources and reducing its average cost of debt. The proceeds will be applied towards short-term working capital requirements.

Karl Toriola, MTN Nigeria’s chief executive officer said, “We are pleased with the support received from the investor community, having recorded a 149 percent subscription from a broad range of investors. This reflects MTN Nigeria’s robust financial capacity, brand strength, and market leadership amidst the upward pressure on interest rates.”

The statement said this issuance positions MTN Nigeria well to continue investing in network expansion, innovative services, and digital solutions, driving further growth and solidifying its commitment to connecting Nigerians to a brighter future.