MTN Nigeria Communications (MTNN) Plc has raised N72.18 billion through commercial paper issuance.
The company in a statement signed by its secretary, Uto Ukpanah, notified the investing public of the successful completion of its Series 13 and 14 Commercial Paper issuance under the company’s N250 billion commercial paper issuance programme.
“MTN Nigeria 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 per cent and 29.00 per cent, respectively, with an issue on November 29, 2024.
“This follows the N75.18 billion Commercial Paper issued on November 7, 2024, demonstrating investor confidence in the management and financial performance of MTN Nigeria,” it stated.
MTNN said that the proceeds will be used to support short-term working capital requirements.
Speaking on the development, chief executive officer of MTNN, Karl Toriola said, “we are pleased with the support received from the investor community, having recorded 144 per cent 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.”
Meanwhile, in the company’s nine months performance for the period ended September 2024, Toriola, stated, “we sustained the growth in our underlying operating performance, underpinned by our resilient business model and operational agility, despite challenging conditions.”
He however said, “adjusting for the net forex losses, profit after tax would have been positive. Further adjusting for the impact of forex in our operating expense (opex), PAT would have been up by 13.3 per cent to N367.1 billion.
“Despite the reported losses, we delivered a positive free cash flow of N536.8 billion, up 21.9 per cent, helped by favourable working capital movements and lower capex in the period.”
Stanbic IBTC Capital Limited acted as the Lead Arranger and Dealer, with CardinalStone Partners Limited, Chapel Hill Denham Advisory Limited, Cordros Capital Limited, Coronation Merchant Bank Limited, FCMB Capital Markets Limited, Meristem Capital Limited, Quantum Zenith Capital & Investments Limited and Rand Merchant Bank Nigeria Limited as Joint Dealers.
MTN Nigeria is one of Africa’s largest providers of communications services, connecting approximately 77 million people in communities across the country with each other and the world. MTN Nigeria is part of the MTN Group, a multinational telecommunications group which operates in 18 countries in Africa and the Middle East.
