Sierra Leone’s first corporate bond marks milestone in local financial market
By Esther Agbo
United Capital Group has played a pivotal role in advancing Sierra Leone’s financial landscape by leading the issuance of the country’s first corporate bond denominated in local currency.
The bond, valued at SLE32 million (approximately US$1.4 million), was structured for LAPO SL, a microfinance institution dedicated to supporting micro, small, and medium enterprises (MSMEs), with a special focus on empowering women from low-income households.
As the Financial Adviser, United Capital’s investment banking division provided crucial services, including structuring, financial advisory, and fundraising.
This landmark transaction is expected to pave the way for further development in Sierra Leone’s capital market, fostering a more robust financial environment for businesses and investors.
The Managing Director of Investment Banking at United Capital Group, Gbadebo Adenrele, highlighted the significance of the transaction, noting that it not only strengthens the corporate bond framework within the country but also signals a deeper commitment to developing local capital markets across Africa.
“We are pleased to have advised LAPO SL on this landmark transaction. It not only strengthens the corporate bond framework but also deepens the Sierra Leonean capital market.
“At United Capital, we are committed to enhancing the capital market ecosystem across Africa through active participation in innovative transactions like this,” Adenrele said.
The Group CEO of United Capital, Peter Ashade, echoed these sentiments, emphasising the broader pan-African impact of the bond issuance.
He pointed out that this successful venture aligns with United Capital’s strategic vision of expanding its footprint across African markets, thereby driving economic growth throughout the continent.
“Our goal is to empower corporates and sovereign governments with tailored financial solutions that transcend borders and foster prosperity throughout Africa,” Ashade stated.
He also noted that the Africa Local Currency Bond Fund played a crucial role as the anchor investor, contributing SLE27 million to the transaction.
United Capital’s involvement in major financial initiatives, such as the Transcorp Power IPO on the Nigerian Exchange, which boasts a market capitalization of N1.8 trillion, underscores its growing influence in Africa’s financial landscape.
