FMDQ Exchange admits Dangote Cement bond

The FMDQ Securities Exchange Limited has approved the listing of the Dangote Cement Plc N3.64bn Series 1 (Tranche A), N10.45bn Series 1 (Tranche B) and N35.91bn Series 1 (Tranche C) Fixed Rate Bonds under its N300.00bn Multi-Instrument Issuance Programme on its platform.

The Exchange said in a statement that the listing came shortly after the successful registration of the company’s N100.00bn commercial paper programme within the same period.

The multi-instrument programme allows the issuer to raise funds from the debt capital market through the issuance of various medium- to long-term debt securities such as green bonds and Sukuk, which enables the issuer to leverage the depth and breadth of the Nigerian debt capital market, according to the statement.

It said the proceeds from the bonds would be used to fund expansion projects, refinance short-term debts, as well as working capital expenditure.

The Group Managing Director, Dangote Cement, Mr Michel Puchercos, said, “This bond issuance allows us to move a step further in achieving our expansion objectives and will be deployed to projects instrumental in supporting our export strategy while improving our cost competitiveness.

“We thank the investor community for their continued support in the management of Dangote Cement and their successful participation in the bond issuance.”

The sponsor of the bond, Absa Capital Markets Nigeria Limited, through its Chief Executive Officer, Mr Sadiq Abu, said, “We are very pleased to have acted as lead issuing house on the transaction. The success of the issuance and positive investor response amidst market uncertainty is indicative of Dangote Cement’s strong credit profile and market positioning.

“We thank the board and management of Dangote Cement Plc for the opportunity to continue to support the company in its fund-raising efforts.”

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