MTN Nigeria Raises N72.18bn Through  CP Issuance

Kayode  Tokede

MTN Nigeria Communications Plc has notified the Nigerian Exchange Limited and the investing public of the successful completion of its Series 13 and 14 Commercial Paper (CP) issuance under the Company’s N250 billion Issuance Programme.
CP is an unsecured form of promissory note that pays a fixed rate of interest. It is typically issued by corporations to cover short-term receivables and meet short-term financial obligations, such as funding for a new project.
The Company Secretary, MTN Nigeria Communications, Uto Ukpanah in a statement stated that the telecommunication giant sought to raise N50 billion, but the offer recorded a 144 per cent over subscription with N72.18 billion issued.
The 180-day and 270-day CP were issued at yields of 27.50% and 29.00%, respectively, with an issue date of Friday, 29 November 2024.
This follows the N75.18 billion CP issued on 7 November 2024, demonstrating investor confidence in the management and financial performance of MTN Nigeria. The proceeds will be used to support short-term working capital requirements.
Commenting on the development, MTN Nigeria’s Chief Executive Officer, Mr. Karl Toriola, in a statement said: “We are pleased with the support received from the investor community, having recorded 144% subscription with participation from a broad range of investors.
“This further reinforces MTN Nigeria’s financial position, brand strength and market leadership amidst the challenging macro conditions.”
The company stock price closed flat at N176.00 per share on NGX yesterday.