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Investors Oversubscribe FCAM’s Legacy Fund’s $2.5m IPO by 144%

By Dipo Olowookere

The $2.5 million Legacy Dollar Bond Fund offering through an Initial Public Offering (IPO) may have come and gone, but outcome of the exercise has continued to excite promoters of the investment scheme.

The mutual fund was managed by First City Asset Management Limited (FCAM), a member of the FCMB Group Plc.

The IPO was conducted from January 8, 2018 to February 14, 2018 and results showed that subscriptions worth $6.1 million were received from investors, representing 144.4 percent oversubscription.

According to a statement issued by FCAM, a total of 67 applications for 6,111,000 units were received from traders with none of the applications found to be invalid.

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It added that details of the applications and allotment of the offer indicated that 17 applicants purchased the minimum number of units of 5,000.

Commenting on the development, the chief executive of FCAM, Mr James Ilori, enthused that, “We are delighted at the level of participation of the investing public, in the Legacy USD Bond Fund Offer.”

He said, “FCAM’s internationally trained investment team will manage the Fund in line with the investment objective of income generation. We remain committed to creating additional value for individual and institutional investors.”

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According to him, the Fund provides an excellent opportunity for investors to regularly save in US Dollar and has now re-opened to new and existing investors.

The Legacy Dollar Bond Fund is an open-ended investment vehicle registered with the Securities and Exchange Commission (SEC) and managed by FCAM.

It provides an opportunity for investors to invest in US dollar denominated fixed income securities on a continuous basis.

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It also provides flexibility with respect to the timing of investments in, and redemptions from the Fund, with the objective of the Legacy Dollar Bond Fund being to generate stable income over the long-term.

The Fund is being managed as a unit trust scheme designed for investors seeking an efficient way to earn stable income in US Dollar, from investing in a portfolio comprising of high quality, registered, and tradeable US Dollar fixed income securities.

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Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan.

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