MTN Nigeria Communications PLC Proposes Issuance of N50Bn Commercial Paper

MTN Nigeria Communications Plc has proposed the issuance of N50 billion commercial papers to raise funds for its working capital as well as for general corporate purposes, a statement from the company explained.

The commercial papers would be issued in two tranches; series 1 and series 2 and institutional, high-net-worth individuals (HNWIs) are expected to embrace the exercise.

In a letter to the Nigerian Stock Exchange (NSE) the telecom giant wrote: “MTN Nigeria Communications Plc hereby notifies the Nigerian Stock Exchange (NSE) and the investing public of its proposed Series I and II commercial paper issuance of up to N50 billion.

“Having already received FMDQ Securities Exchange Plc approval for the registration of its N100 billion Commercial Paper Programme the issuance is part of the company’s strategy to diversify its financing options with the funds being deployed towards working capital and general corporate purposes.

“Further details on the initial issuance (as well as subsequent issuances) will be communicated to the market as the transaction(s) occur,” Uto Ukpanah, company secretary, said.