FSDH Funding SPV lists N12bn bonds on FMDQ Exchange

FMDQ Securities Exchange Limited has announced the approval of the listing of the FSDH Funding SPV Plc N7.05 billion Tranche A and N4.95 billion Tranche B Series 1 Fixed Rate Bonds under its N30.00 billion Debt Issuance Programme on its platform.

FSDH Funding SPV is a special purpose vehicle set up to raise capital from the Nigerian debt capital market for FSDH Merchant Bank Limited, according to a statement on Tuesday.

Speaking on the successful issuance of the bonds, the Director, FSDH Funding SPV, Mr Adekunle Awojobi, said, “We are pleased about the successful N12.00 billion capital-raise under the FSDH Funding SPV PLC’s N30.00 billion Debt Issuance Programme.

“The bond issue is the first series under the programme and comprises of two tranches of subordinated and senior bond notes, each with a 5-year tenure. The listing of the bonds on FMDQ’s platform will help provide visibility and enhance the liquidity of the bonds.”

Awojobi said the net proceeds of the bond issue would be used to fund the growth of risk assets of FSDH Merchant Bank Limited.

“A portion of the bond issuance will serve the dual purpose of shoring up the Bank’s Tier 2 capital, in line with its Internal Capital Adequacy Assessment Process,” he added.

He commended Union Capital Markets Limited for facilitating the listing of the bonds on FMDQ Exchange and the issuing houses, Stanbic IBTC Capital Limited, FSDH Capital Limited, Rand Merchant Bank Nigeria Limited, and United Capital PLC for their support in ensuring the successful capital raise.

The Director, Union Capital Markets Limited, the sponsor of the bond on the Exchange Mr. Egie Akpata, said, “We are delighted at the successful listing of the N12.00 billion FSDH Funding SPV Plc Series 1 bonds on FMDQ Exchange.

“The listing of the bonds on the Exchange allows for liquidity and trading of the bonds which is positive for the investors. We are glad that Union Capital Markets Limited was instrumental in the successful listing of the bonds on FMDQ Exchange and thank the board and management of FSDH Merchant Bank Limited for the opportunity to work with them.”

FMDQ Exchange said it would continue to work collaboratively with market stakeholders to align the nation’s debt capital markets to international standards and would take commendable steps to ensure that growth and development opportunities abound for the markets under its purview.

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