Telecom giant MTN Nigeria is set to issue Series 8 & 9 Commercial Paper amounting to N52.896 billion under its N250 billion Commercial Paper Programme. Split into N30 billion for Series 8 (maturing in 270 days) and N22.896 billion for Series 9 (maturing in 182 days), this move aims to diversify financing options for short-term working capital and other needs.
In a recent filing with the Nigerian Exchange Limited, MTN emphasized the success of its Series 6 & 7 Commercial Paper Issuance, reaching a robust N125 billion with a 146% oversubscription. This marks the largest aggregate CP issuance by any corporate within a calendar year in Nigeria’s debt capital markets.
Despite a 75.7% YoY decline in profit before tax in Q3 2023, MTN reported a 21.8% increase in revenue, reaching N1.77 trillion. This financial move aligns with MTN Nigeria’s strategy to diversify funding sources and reduce its average cost of debt, indicating investor confidence in its credit profile and CP program.
MTN Nigeria’s CEO, Karl Toriola, highlighted the company’s robust financial capacity, brand strength, and industry leadership as key factors contributing to the success of its investment portfolio. This latest issuance further underscores MTN’s commitment to strategic financial management and continued business strength.
