Aduragbemi Omiyale
By Aduragbemi Omiyale
The N150 billion Series VI Sovereign Sukuk of the federal government will close today, Wednesday, October 11, 2023.
The exercise commenced on Tuesday, October 3, 2023, and has a minimum subscription price of N10,000 at N1,000 each and in multiples of N1,000 thereafter.
The federal government, which is selling the Shari’ah-compliant debt instrument through the Debt Management Office (DMO), is offering the Islamic bond with a tenor of 10 years at 15.75 per cent to be paid twice a year.
The joint issuing houses for the Sukuk are Greenwich Merchant Bank, Stanbic IBTC Capital and Vetiva Capital Management, while Buraq Capital is the financial adviser to the transaction.
Proceeds from the tax-free bond would be used to fund the construction of roads and other infrastructure across the country.
The first Sovereign Sukuk was issued in Nigeria in September 2017 as part of a strategic initiative to support the development of critical infrastructure, promote financial inclusion and deepen the domestic securities market.
