MTN Nigeria Communications Plc (MTN Nigeria) has secured a pre-requisite statutory approval from the Securities and Exchange Commission (SEC) to launch its Series II 10-Year Fixed Rate Bond worth N89.99 billion. The book build in respect to the Series II Bond is expected to be launched today 8th of October, 2021.
This is according to a statement issued by MTN Nigeria, signed by its secretary, Uto Ukpanah, and filed with the Nigerian Exchange Limited (NGX).
Recall that MTN Nigeria had earlier announced plans to issue a 10-Year Series II bonds worth N89.999billion. The offer is part of a N200 billion registered shelf programme initiated by the telecom.
The minimum subscription for the bond is N10 million and in multiples of N1 million subsequently. The bond has a tenor of 10 years and a fixed interest rate. It will be honoured with a 7 years moratorium, amortizing thereafter in 3 equal annual instalments until maturity.
Naijabusiness.com.ng gathered that Chapel Hill Denham Advisory Limited will serve as the Lead Issuing House, while Stanbic IBTC Capital Limited, DLM Advisory Limited, FBNQuest Merchant Bank Limited, FCMB Capital Markets Limited, Rand Merchant Bank Nigeria Limited and Vetiva Capital Management Limited will collectively act as the Joint Issuing house. The bond will be listed on FMDQ Securities Exchange.
In a recent notice, the Securities Exchange Commission (SEC) having perused through the offer, granted the telecom giant the go ahead to proceed with it. Corroborating this, MTN Nigeria in its recent notice said: ‘’MTN Nigerian Communications Plc (MTN Nigeria) has obtained the approval of the Securities and Exchange Commission to launch the Series II 10-Year Fixed Rate Bond (Series II Bond) announced on 21 September 2021. The Series II Bond represents the completion of the N200 billion registered shelf programme. In addition, the bond issuance continues to reinforce MTN Nigeria’s strategy of diversifying its funding sources.
‘’MTN Nigeria will launch the book build in respect of the Series II Bond on 8 October 2021.’’
MTN Nigeria is a leading telecommunications company and a subsidiary of MTN Group. Since it launched its operations in Nigeria in August 2001, the firm has grown in leaps and bounds. It now provides services in over 223 cities and towns and more than 10,000 villages and communities spanning the 36 states and the FCT.
The Company is the largest mobile operator and undisputed market leader in Nigeria as measured by total mobile subscribers (c. 68.9 million), and active data users (c. 32.5 million) As of the period of filing this, MTN Nigeria Plc is currently trading N174 per share on the floor of the Nigerian Exchange Limited (NGX).