MTN Nigeria said it has raised ₦125 billion ($271 million) as part of its commercial paper issuance to cover operational expenses.
Commercial papers are expensive IOUs. They are unsecured loan instruments used by companies that need to raise money fast.
In February, MTN announced its plans to raise ₦100 billion ($217 million) to support its working capital and general operating expenses. The Series 4 subscription had a 188-day tenor and was offered at 11%, while the series 5, with a 267-day tenor, was 12.50%.
While the company only sought ₦100 billion, it received a 125% subscription. The issuance was completed on March 1, 2023, almost a week after its scheduled date of February 23.
Stanbic IBTC Capital arranged the deal while Stanbic IBTC Capital, Chapel Hill Denham Advisory, Coronation Merchant Bank, FBNQuest Merchant Bank, and FSDH Capital were the dealers.
