MTN records 149% subscription on its Commercial Paper

MTN Nigeria Communications Plc has recorded 149 percent subscription on its N250bn Commercial Paper.

MTN Nigeria’s Chief Executive Officer, Karl Toriola, 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.”

Stanbic IBTC Capital Limited played the role of Arranger and Dealer with ARM Securities Limited, Chapel Hill Denham Advisory Limited, Coronation Merchant Bank Limited, FCMB Capital Markets Limited, Quantum Zenith Capital & Investments Limited, Rand Merchant Bank Nigeria Limited and Vetiva Capital Management Limited playing the role of Joint Dealers on the transaction.

The latest funding is part of the Series 10 Commercial Paper issuance under its upsized N250 billion Commercial Paper Issuance Programme.

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

The Commercial Paper Issuance aligns with MTN 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.