MTN Nigeria Applies For 2nd Bond Issuance Programme

MTN Communications Plc, has applied to the Securities and Exchange Commission for its new N200 billion Bond Issuance programme for 2022.

The Bond Issuance Programme is their second since 2021 and was announced on Nigerian Exchange platform on Tuesday.

According to a statement signed by the company’s Secretary, Uto Ukpana, the Second Bond Issuance Programme is a follow on to the N200 billion first appearance in 2021.

It was revealed that “ the company had issued N110 billion (13%) seven-year series bond I due by 2028. Also, N90 billion (12.75%) 10-year series II bonds due 2031.

It further added that the proceeds of the bond issuance will be used for capital expenditure (network expansion), working capital management and general corporate purpose.

In their disclosure, the company stated, “MTN Nigeria Communications Plc has applied to the Securities and Exchange Commission in respect of the registration of a new N200 billion Bond Issuance Programme (Second Bond Issuance Programme).

“This second Bond Issuance Programme is a follow-on to the successful N200 billion debut Bond Issuance Programme in 2021 under which the company issued the N110 billion 13.00% 7-year series I bond due by 2028 and N90 billion 12.75% 10-year series II bonds due 2031. The proceeds of the bond issuance will be used for capital expenditure (network expansion), working capital management and general corporate purpose.

“The company will decide on issuance under the second Bond issuance Programme in due course subject to prevailing market conditions and obtaining relevant regulatory approvals.”