Nigerian govt targets $1bn subscriptions from $500m Dollar-dominated bond
The Nigerian govt has unveiled its Sequence I Domestic buck-dominated Bond with a realizing to raise on the least $500 million from native and global investors.
In accordance to a recent Auction round, the govt. targets $1 billion in subscriptions in this round of auction.
Meanwhile, this auction comes at a time when 5 of Nigeria’s Eurobonds were ranked among the worst performers in the Bloomberg index of rising and frontier sovereign debt.
An huge breakdown of the bond program showed that it has a entire size of as a lot as $2.0 billion, which may perchance well also additionally be upsized counting on the issuer’s discretion.
The bond is 5-365 days tenured, offering a medium-term funding opportunity for investors looking out out out stable returns.
Accordingly, it changed into also said that the bond’s coupon rate is benchmarked to similar FGN Eurobonds yields, guaranteeing aggressive returns that align with global market standards.
Passion payments will more than doubtless be made semi-annually, offering traditional profits streams to investors and bettering the bond’s charm.
The bond presents bullet compensation at maturity in US greenbacks, guaranteeing beefy compensation of the predominant quantity on the discontinue of the 5-365 days term.
Recall that Wale Edun, the Minister of Finance had hinted on the realizing to unveil the $500 million in home international substitute-denominated bonds two weeks in the past
