LAGOS, Nigeria (VOICE OF NAIJA)-Dangote Sugar Refinery has announced the issuance of Series 4 and 5 Commercial Paper notes, aimed at raising N42.79 billion.
According to a statement submitted to the Nigerian Exchange Limited and signed by the Company Secretary, Temitope Hassan, Dangote Sugar Refinery has issued its latest series of commercial notes under a N150bn Commercial Paper Issuance Programme.
“Dangote Sugar Refinery PLC hereby notifies the Nigerian Exchange and the investing public of its successful issuance of N42.79bn Series 4 and 5 Commercial Paper notes (the “Notes”)” he said.
Hassan noted that the issuance included N12.93 billion in 181-day Series 4 notes and N29.86 billion in 265-day Series 5 notes, which garnered interest from pension and non-pension asset managers, alongside other institutional and individual investors.
He further mentioned that the Series 4 notes were offered at a yield of 23.00 percent, while the Series 5 notes were priced at a yield of 25.00 percent.
“The notes, which were issued under the company’s N150bn Commercial Paper Issuance Programme, comprised N12.93bn 181-day Series 4 and N29.86bn 265-day Series 5 notes.
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“The Series 4 notes are priced at a 23.00 per cent yield, while the Series 5 notes are priced at a 25.00 per cent yield, with participation from several investor groups, including pension and non-pension asset managers, as well as other institutional and individual investors,” he elucidated.
He further emphasized that the successful issuance was part of a strategic initiative to broaden its funding sources.
He reiterated that the proceeds from the commercial paper notes would be used to bolster the company’s short-term working capital and funding needs.
He expressed appreciation for the robust investor participation, highlighting their trust and confidence investors have in the company’s business model future growth and opportunities.
“The successful issuance of the notes is in furtherance of the company’s strategy to diversify its funding sources, with the funds raised being deployed to support its short-term working capital and funding requirements,” he stated.