The FMDQ Securities Exchange Limited (FMDQ) has granted approval for the quotation of Greenwich Merchant Bank Limited’s N12.20 billion Series 1 and Series 2 Commercial Papers under its N100.00 billion CP Issuance Programme.
The approval was confirmed in a statement issued by the FMDQ which indicated that to guarantee sustained business operations in the current challenging environment for businesses, corporate entities had been exploring alternative financing options by tapping the debt capital market to reduce their capital shortfalls.
Commenting on the approval of the CPs by the FMDQ Exchange, the bank’s Group Managing Director/Chief Executive Officer, Mr. Bayo Rotimi, explained that the maiden CP issuance by the merchant lender was 22.00% oversubscribed with orders of over N12.20 billion, indicating the strength of the company’s value proposition to the Nigerian economy.
He said: “We remain committed to delivering innovative and cutting-edge financial solutions to discerning issuers and investors towards creating viable alternatives and deepening the Nigerian capital markets.”
Also speaking, the Executive Director, Stanbic IBTC Capital Limited, Mrs. Oyinda Akinyemi, said that the investment firm was pleased to have acted as Lead Arranger/Issuing and Paying Agent to the debut CP Issuances by Greenwich Merchant Bank.
She explained: “As the leading investment banking franchise in Nigeria, we pride ourselves in bringing new Issuers to the debt markets. The remarkable success of this transaction is reflected in the strong participation of a diverse group of investors.
“The quotation of these CPs on the FMDQ Exchange will aid transparency and liquidity, further deepening the domestic debt markets. We thank the Board and Management of Greenwich Merchant Bank for trusting the team of professional advisers to deliver a successful transaction”, Akinyemi added.
In his remarks, the Managing Director of the FMDQ Exchange, Ms. Tumi Sekoni, who was represented by Senior Vice President, Business Development Division of the Exchange, Ms. Jumoke Olaniyan, congratulated the Issuer and other parties for the efforts they put to ensure the success of the issuances.
The investment expert assured the investing public that with the growing interest of corporate entities in the CP market to finance short-term funding and liquidity requirements through the debt markets, the Exchange would continue to maintain a dependable and resilient platform for the quotation of CPs, thereby facilitating access to capital for businesses.
