By Aduragbemi Omiyale
The sale of N100 billion worth of commercial paper by Dangote Cement Plc will close tomorrow, Tuesday, April 16, 2024.
The exercise is from the N300 billion Commercial Paper Issuance Programme of the leading cement manufacturer in Nigeria.
Funds from the CP sales, in its Series 13 and 14, would be used by the firm for its working capital requirements and general corporate purposes, details of the exercise revealed.
Business Post reports that the subscription for the Dangote Cement commercial paper started on Friday, April 12, 2024, and the settlement date is Wednesday, April 17, 2024.
Series 13 of the paper is 182 days at a discount rate of 19.42 per cent, while Series 14 is with a maturity of 265 days offered at a discount rate of 20.81 per cent.
Dangote Cement boasts a combined capacity of 52Mta (35.3Mta in Nigeria) across its operations in 10 African countries.
It operates a fully integrated “quarry-to-customer” business with activities covering manufacturing, sales and distribution of cement.
Through its investments, the company eliminated Nigeria’s dependence on imported cement and transformed the nation into an exporter of cement, serving neighbouring countries, though according to cement consumers, the price of the product is quite high.
This newspaper gathered that a 50kg bag of the company’s cement brand goes for N8,000 to N8,500, though lower than about N12,500 it was sold last month and higher than the N5,000 it was sold this January.
