FMDQ Securities Exchange to list FG $1bn bond on its platform

NAN-HE-24

Eurobond

By Chinyere Joel-Nwokeoma

Lagos,  Feb. 4, 2017 (NAN) The FMDQ OTC Securities Exchange is set to admit the pioneer listing of the Federal Government of Nigeria one billion dollars Eurobonds on its platform.

This is contained in a statement issued by the Exchange on Tuesday in Lagos made available to the News Agency of Nigeria  (NAN).

The statement stated that FMDQ had received the approvals of the Debt Management Office (DMO) and the Ministry of Finance to list the bond.

It said that the Federal Government on Feb. 9 announced the pricing of the Eurobonds under its one billion dollars Global Medium-Term Note Programme.

It added that the approval for the listing  followed series of engagements by FMDQ on the importance of promoting and supporting economic development in the country through the opening of Eurobonds to the domestic Debt Capital Market (DCM)  through the OTC exchange’s platform.

It said that the bond would set the pace for global competitiveness and invariably deepen Nigeria’s financial markets and lay credence to the underlying objectives for the birth and operational mandate of FMDQ.

“The issuance of the one billion dollars  FGN Eurobond is aimed at fostering economic development and will serve to  rejuvenate the  vibrancy of the nation’s foreign exchange market.

“Remarkably so, this is the first-time the sovereign’s Eurobond will be considered for listing on a domestic exchange, following the nation’s first and second outings to the international capital markets in 2011 and 2013,  respectively,” it stated.

The statement added that FMDQ had provided a highly resourceful platform for the registration, listing of Bonds (Sovereign, Agency, Sub-national, Corporate, Supranational, as well as Eurobonds and Sukuk), Funds and the quotation of Commercial Papers, Treasury Bills, among others.

“The OTC Exchange, since its debut into the Nigerian financial market landscape, already granted permitted trading status for1.50 billion dollars of the previously issued FGN Eurobonds and 3.15 billion dollars Eurobonds issued by Nigerian companies, ” it added.

It said that the listing and eventual ttading of the FGN Eurobond on FMDQ  would enable the securities gain access to the full complement of the FMDQ listings and quotations service, which includes efficient clearing and settlement structures, unprecedented transparency, and improved network effects, among others. (NAN)
JNC/YAZ

Edited by Yusuf Zango