Nigeria’s Union Bank To Raise N20 Bln In Commercial Paper
Union Bank Plc said it has opened bids for the issuance of Commerical Paper (CP) with 180-day and 268-day tenor and targeted N20 billion from the exercise which will close on Jan. 21.
The bank in a regulatory filing with the Nigerian Stock Exchange (NSE) on Monday said the offer was part of the N100 billion CP Programme registered in 2018.
According to the lender, it successfully raised N24.3 billion in the debut issuance of Series 1 and 2 of the CP at the domestic capital in January last year.
The bank said the Series 3 and 4 respectively, opened on January 16, 2020, and is scheduled to close on January 21, 2020, with a target issuance size of N20 billion across both tenors.
“The CP offer is targeted at institutional investors including pension and non-pension asset managers, as well as eligible high net-worth investors.
“The new funding is expected to provide the Bank with further working capital as it delivers on its promise to be Nigeria’s most trusted and reliable banking partner.
Union Bank, one of Nigeria’s oldest financial service institutions, boosts of 5.6 million customers based serviced across 280 branches and cash centres nationwide.
Stanbic IBTC Capital Limited and Union Capital Markets Limited are the Dealers on the Commercial Paper Issuance by the Bank.
The bank said the Commercial Paper will be listed on the FMDQ OTC Securities Exchange platform at the end of the exercise.