NBET Confirms Receipt of $417.5m from NSIA
By Modupe Gbadeyanka
The sum of $417.46 million has been paid to the Nigeria Bulk Energy Trading Company Plc (NBET) following the expiration of a four-year investment term.
The payment was made by the Nigeria Sovereign Investment Authority (NSIA) in three tranches; $8 million in May 2016, $5.5 million in August 2016 and $403.96 million in July 2018.
Confirming this last Thursday in a statement was the Managing director of NBET, Dr Marilyn Amobi, who was quoted as saying that, “NBET is pleased with the management of the fund over the last four years.
“NSIA as a competent fund manager preserved the capital; thus, helped to promote NBET’s creditworthiness as an off-taker for grid injected electric energy in the Nigerian Electricity Supply Industry (NESI).”
In the same statement issued by spokesperson of NSIA, Titilope Olubiyi, it was explained that, “The returned fund consists of the principal sum of $350 million allocated to the NSIA from the proceeds of the $1 billion Eurobond issued by the Federal Government of Nigeria in July 2013 under a fund management agreement and the sum of $67.46 million (net of fees) as interest and earnings over the investment period.”
According to the statement, Managing Director of NSIA, Mr Uche Orji, stressed that his agency has accomplished its goals of enhancing NBET’s liquidity position whilst enabling the company to focus on its principal function of developing the electricity market.
Mr Orji stated that, “NSIA’s role as fund manager helped to safeguard NBET’s capital against market volatility and also conferred the agreed financial benefits on the company.”