Lagos Closes N85.14bn Series II Bond Issuance Programme

The Lagos State Government has announced the closure of the N85,140,000,000 Series II Bond Issuance geared towards improving the physical and social infrastructure of the … Continue reading Lagos Closes N85.14bn Series II Bond Issuance Programme


Lagos Closes N85.14bn Series II Bond Issuance Programme

Lagos Closes N85.14bn Series II Bond Issuance Programme

The Lagos State Government has announced the closure of the N85,140,000,000 Series II Bond Issuance geared towards improving the physical and social infrastructure of the state.

The government announced this in a statement signed on Monday by the State Commissioner for Finance, Mr Akinyemi Ashade.

According to Ashade, the bond was issued on August 12 in two tranches of a seven-year N46,370,000,000 (16.75% bond maturing August 2024); and a 10-year N38,770,000,000 (17.25% tranche two maturing August 2027), under the N500b Third Debt Issuance Programme.

He noted that the N85.14b Series II Bond Issuance was the largest bond issuance in the Nigerian capital markets in the last four years and the second largest issuance ever.

The commissioner added that it was the first time any Non-Federal Government issuer in the country has issued out to 10 years, thereby extending the non-sovereign yield curve.

“We value the reputation we have earned as the most responsible issuer in the Nigerian capital markets and thank everyone who has worked with us to deliver a successful outcome,” he said.

Ashade also hinted that Chapel Hill Denham acted as the lead issuing house and bookrunner and led an issuing party, including 10 other bookrunners on what he described as a landmark transaction.

Meanwhile, the state governor, Akinwunmi Ambode, was encouraged by the sustained support the state’s credit story had received from investors.

Governor Ambode was quoted as saying: “In challenging market conditions, we are encouraged by the sustained support that the Lagos State credit story has received from investors for which we are grateful.”

“This support is critical to our quest to improve the physical and social infrastructure in the state and lift the economic and social welfare of all citizens of Lagos State”.