FMDQ Securities Exchange Limited approved the listing of the MTN Nigeria Communications PLC’s ₦110 billion Series 1 Senior Unsecured Fixed Rate Bond under its ₦200 billion Bond Issuance Programme on the Exchange’s platform.
The landmark listing, reputed as the largest in Nigeria, follows the due diligence of its Board Listings and Markets Committee, the Exchange said in a statement.
The admission of this Bond to FMDQ Exchange is reflective of the potential of the Nigerian DCM and the commendable level of confidence demonstrated by both issuer and investors.
The transaction also validates the efficient processes and integrated systems through which FMDQ Group has sustained its service delivery to the market and its diverse stakeholders.
The Chief Executive Officer, MTN Nigeria, Karl Toriola, said: “We are very proud of this landmark transaction, which is the first ever telecommunication bond issued in Nigeria, and the largest corporate bond issuance in 2021.
“The Nigerian debt capital market has given us the opportunity to diversify our funding sources further and enabled us to extend the maturities of our debt portfolio to match infrastructure investments.
“Investors’ strong support for this transaction, given the challenging economic environment, is a reflection of their confidence in MTN Nigeria’s long-term strategy, the management team, the depth of the market, and the overall growth in the telecommunications industry, and we do appreciate the support.”
MTN Nigeria is Nigeria’s premier provider of connectivity, communication and collaboration solutions, and the largest privately owned mobile operator in Africa, Europe, and the Middle East.
The telco serves over 77 million subscribers with national coverage and a fibre network that reaches every state in the nation.
Investors’ strong support for this transaction, given the challenging economic environment, is a reflection of their confidence in MTN Nigeria’s long-term strategy, the management team, the depth of the market, and the overall growth in the telecommunications industry.
Chapel Hill Denham Advisory Limited is the sponsor of the bond and a Registration Member (Listings) of the Exchange.
Speaking on the successful bond issuance, the Chief Executive Officer, Chapel Hill Denham Bolaji Balogun, said: “The firm is honoured to have led the successful Series 1 bond issuance of ₦110 billion working with the six (6) joint Issuing Houses.
“The Series 1 bond was oversubscribed and strongly supported by robust demand from over 200 investors, which included Pension Funds & Asset Managers, banks, family offices and high net worth individuals.
“This issuance is the largest corporate debt transaction this year and its success demonstrates MTN Nigeria’s strong credit profile, leading position in the market as well as its long-term prospects.”
FMDQ Group is Africa’s first vertically integrated financial market infrastructure group. It is strategically positioned to provide carried investment services through its wholly owned subsidiaries – FMDQ Exchange, FMDQ Clear Limited, FMDQ Depository Limited and FMDQ Private Markets Limited.
Such services include registration, listing, quotation and noting services; integrated trading, clearing & central counterparty, settlement, and risk management for financial markets transactions; depository of securities, as well as data and information services, across the debt capital, foreign exchange, derivatives and equity markets.