Dipo Olowookere
By Dipo Olowookere
The $1.250 billion Eurobond sold to offshore investors in March 2022 by the federal government of Nigeria has been listed at the Nigerian Exchange (NGX) Limited and the FMDQ Securities Exchange Limited.
The dual listing on the domestic exchanges was done by the Debt Management Office (DMO). It was after the paper was earlier listed on the London Stock Exchange (LSE).
The seven-year Eurobond was priced at 8.375 per cent and is expected to mature in March 2029, according to the debt office.
The DMO explained that its decision to bring the international bond to the NGX and the FMDQ Securities Exchange is to create opportunities for local investors to partake in the overall exercise as it gives them access to purchase the Eurobond through the secondary market.
“The Eurobond has been listed on the London Stock Exchange, the listing on the Nigerian Exchange (NGX) Limited and the FMDQ Securities Exchange Limited represents the DMO’s commitment to boosting capital market activities and creating opportunities for local players,” a part of the statement issued by the agency explained.
The $1.250 billion Eurobond was sold after it was approved by the National Assembly and the Federal Executive Council (FEC) in one of its meetings to execute some projects included in the 2022 budget.
“The Eurobond was issued in March 2022 based on approvals in the Appropriation Act and subsequent approvals received from the Federal Executive Council (FEC) and the National Assembly.
“The proceeds of the Eurobond were used for financing capital projects in the Appropriation Act. In addition, the proceeds contributed to an increase in Nigeria’s external reserves,” the DMO said.
