MTNN Raises N115bn Fixed Rate Bonds

MTN Nigeria Communications (MTNN) Plc, has successful raised and completed N115 billion Series 1one Fixed Rate Bond issuance.

The transaction was 1.68 times oversubscribed and represents MTN Nigeria’s first issuance under its new N200 billion Bond Programme and third bond issuance in the Nigeria debt capital markets.

This was stated in a release signed by its company secretary Uto Ukpanah to the investing public.

According to the release, the book build for the dual tranche, four year Tranche A and 10 year Tranche B bond issuance commenced on September 15, 2022 and closed on September 21, 2022 with a total value of 168.54 billion in bids received, representing a 1.68 times oversubscription of the intended N100 billion issuance.

“The Offer was well received with active participation from a diverse range of investors, including pension funds, insurance companies, asset managers, other financial institutions, and high net worth individuals. The Series one Tranche A and Tranche B Bonds were issued at a clearing coupon of 13.50 per cent and 14.50 per cent, respectively. Of the total qualifying bids, MTN Nigeria opted to issue a combined value of $115 billion across both tranches; N10.09 billion in the four-year Tranche A and $104.91 billion in the 10-year Tranche B.