United Capital Plc has raised N15 billion under the second tranche of its N20 billion commercial paper (CP) issuance programme. It had in April 2020 raised N5.3 billion under the debut Series 1 and 2.
The latest Series 3, a 270-day issuance, was issued at a yield of 1.26 per cent and had a subscription of some 112 per cent with firm commitments from a pool of institutional investors, particularly asset managers.
The debut Series 1 and 2 issuances, with tenors of 182 days and 270 days respectively, were also subscribed to by individual and institutional investors, with interest significantly tilted towards the 270-day offering.
Group Chief Executive Officer, United Capital Plc, Mr. Peter Ashade said the commercial paper issuance was in line with the company’s bid to diversify its funding sources, strengthen its capital base and intensify its strategic initiatives aimed at providing innovative financing solutions to its clients.
He noted that the latest issuance set another ground-breaking record in the Nigerian capital markets, being the lowest yield on record for a 270-day CP issuance by a non-bank issuer.
