Finance

MTN Nigeria raises N125bn through commercial paper

MTN Nigeria raises N125bn through commercial paper

successful completion of its series 4 & 5 Commercial Paper Issuance under N150billion CP issuance Programme.

The telecommunication giant in a statement signed by its company secretary, Mr. Uto Ukpanah stated that it sought to raise N100billion and the transaction was 125 per cent subscribed with a total of N125billion to enable the company to disburse the fund on short-term working capital and funding requirements.

Read:  Zenith expands market share with 22% earnings growth in Q1 2022

Commercial paper is an interest-bearing promissory note exchanged for capital. It is a credit instrument or a channel to obtain loans from the securities market without approaching the bank.

The commercial paper is issued by a corporate organisation in need of funds for short-term financial obligations, which include; working capital, and refinancing debt, amongst others.

Read:  FMN, Honeywell merger rekindles shareholders interest

According to his statement, “MTN Nigeria sought to raise N100 billion, and the transaction was 125% subscribed, with a total of A125 billion raised.

“MTN Nigeria issued 188-day commercial papers at a yield of 11.00% and 267-day commercial papers at a yield of 12.50%. The CP Issuance was completed on 1 March 2023.

Read:  Naira exchanges for 503/$ at parallel market

“The CP Issuance is part of MTN Nigeria‘s strategy to diversity its funding options. The proceeds will be utilised for its short-term working capital and funding requirements,” the document reads.

Thisday

Related posts

NRC opens railway guest house in Ebute Metta Lagos

NigGal

Access Bank total assets hits N10.05trn

NigGal

Nigeria will not mortgage national asset for Chinese loans – DMO

NigGal

Vitafoam posts N4.38bn profit, declares N1.88bn dividend

NigGal

Nigeria’s top five banks gross N4.5 trillion in one year

NigGal

Naira exchange rates July 2022

NigGal

Leave a Comment