MTN Nigeria Raises N75.18 Billion Through Successful Commercial Paper Issuances

MTN Nigeria Communications PLC has officially announced the successful completion of its Series 11 and Series 12 commercial paper issuances, raising a total of N75.18 billion. The announcement was made through the Nigerian Exchange (NGX) disclosure platform and signed by the company’s secretary, Uto Ukpanah.

The issuance is part of MTN Nigeria’s N250 billion Commercial Paper Issuance Programme. Initially targeting N50 billion, the offering recorded an impressive 150% subscription, reflecting strong investor confidence and resulting in a final issuance of N75.18 billion.

According to the statement, the timing of the transaction was strategic amidst prevailing macroeconomic conditions. “This represents a well-timed transaction for the company, as interest rates are expected to rise further following the outcome of the auction as monetary policy authorities continue to address interest and exchange rate pressures,” the company stated.

The oversubscription was noteworthy, especially given the absence of pension funds due to PenCom’s decision to suspend their investments in commercial papers until the SEC releases new guidelines.

MTN Nigeria had recently announced its intention to raise N50 billion through commercial paper as part of its N250 billion programme. The funds from this issuance will be utilized to drive operational efficiency and growth initiatives, focusing on expanding infrastructure, improving service delivery, and addressing the rising demand for telecommunications and digital services nationwide.