FCMB receives CBN’s approval to seek local investors

The management of First City Monument Bank (FCMB) Group is looking to increase the company’s liquidity to finance operation.

FCMB has received approval from the capital market regulator, Securities and Exchange Commission (SEC), to approach the local capital market to borrow N30 billion.

The N30 billion will be borrowed through the bond issuance programme under its N300 billion Debt Issuance Programme, which means the door is open for the firm to come back for more funds when need be.

According to a document sent to the investing community dated January 24, 2023, and obtained on Wednesday, Ripples Nigeria gathered that the N30 billion is a Series I Perpetual Fixed Rate Resettable NC5.25 Additional Tier 1 Bond.

The financial institution commenced the book build in respect of the Series I Bond on Tuesday, January 24, 2023, after also receiving the Central Bank of Nigeria (CBN) approval for the fundraising.

“FCMB Group Plc (‘FCMB Group’) has completed the registration of its N300 billion Debt Issuance Programme with the Securities and Exchange Commission (“the Commission”) and received the Commission’s approval to launch the Series I up to N30 Billion Perpetual Fixed Rate Resettable NC5.25 Additional Tier 1 Bond (‘the Issuance’ or ‘Series I Bond’) thereunder.

“The Issuance represents the first non-sharia local currency AT1 instrument to be issued in Nigeria and has received CBN’s no-objection.

“FCMB Group will commence the book build in respect of the Series I Bond on January 24, 2023,” the document signed by FCMB’s Company Secretary, Funmi Adedibu, reads.