Dangote Sugar Refinery issues N42.79bn commercial notes

Dangote Sugar Refinery has announced that it has issued Series 4 and 5 Commercial Paper notes to raise N42.79bn.

According to a release filed with the Nigerian Exchange Limited and signed by the Company Secretary, Temitope Hassan, the latest commercial notes were issued under its N150bn Commercial Paper Issuance Programme.

“Dangote Sugar Refinery PLC hereby notifies the Nigerian Exchange and the investing public of its successful issuance of N42.79bn Series 4 and 5 Commercial Paper notes (the “Notes”)” he said.

Hassan stated that the issuance, comprising N12.93bn 181-day Series 4 notes and N29.86bn 265-day Series 5 notes, was met with strong investor interest, attracting participation from pension and non-pension asset managers as well as other institutional and individual investors.

He added that the Series 4 notes were priced at a 23.00 per cent yield, while the Series 5 notes were priced at a 25.00 per cent yield.

“The notes, which were issued under the company’s N150bn Commercial Paper Issuance Programme, comprised N12.93bn 181-day Series 4 and N29.86bn 265-day Series 5 notes.

“The Series 4 notes are priced at a 23.00 per cent yield, while the Series 5 notes are priced at a 25.00 per cent yield, with participation from several investor groups, including pension and non-pension asset managers, as well as other institutional and individual investors,” he elucidated.

He added that the successful issuance was a strategic move to diversify its funding sources.

He maintained that the funds raised through the commercial paper notes would be utilised to support the firm’s short-term working capital and funding requirements.

He expressed gratitude for the robust investor participation, noting that it underscored the trust and confidence investors have in the company’s business model and growth prospects.

“The successful issuance of the notes is in furtherance of the company’s strategy to diversify its funding sources, with the funds raised being deployed to support its short-term working capital and funding requirements,” he stated.