FMDQ Securities Exchange Limited has approved the listing of UAC of Nigeria (UACN) PLC’s N54.03 billion series 1 seven-year 17.35 per cent fixed rate bond under its N150 billion issuance programme.

The approval, granted by the Exchange’s Board Listings and Markets Committee, underscored its pivotal role in enabling corporate entities to access long-term capital through transparent and well-regulated debt instruments.

Proceeds from the bond issuance, sponsored by a consortium of reputable firms including Stanbic IBTC Capital Limited (lead sponsor), Chapel Hill Denham Advisory Limited, FCMB Capital Markets Limited and Quantum Zenith Capital & Investments Limited (co-sponsors), are to be strategically allocated to refinance existing obligations, fund capital expenditure programmes and strengthen the issuer’s working capital.

These are expected to enhance operational efficiency and expand capacity across UACN’s diverse business verticals.

The Group Finance Director, UACN, Funke Ijaiya-Oladipo, stated: “UACN is pleased to have completed this landmark bond issuance in the Nigerian debt capital markets. The strong outcome of this transaction is a testament to our sound business fundamentals, the resilience of our brands, and the confidence the market continues to place in us.

“This issuance broadens our funding base and better positions the company to advance its strategic initiatives, including the integration and growth of CHI Limited following our recent acquisition. We appreciate the unwavering support of the investor community and the dedication of our advisers throughout this process.”

Stanbic IBTC Capital Limited, through its Chief Executive, Oladele Sotubo, noted: “Stanbic IBTC Capital is delighted to have served as Lead Issuing House to UACN on this successful bond issuance. As Nigeria’s foremost investment banking franchise, we remain steadfast in our commitment to enabling high-quality issuers’ access to the Nigerian debt capital markets. UACN’s distinguished heritage and ambitious strategic direction, including the acquisition of CHI Limited to further strengthen its FMCG portfolio, highlight the significance of this transaction.

“This issuance provides UACN with a valuable opportunity to diversify its funding mix, optimise its capital structure, and accelerate its growth trajectory. Together with the Joint Issuing Houses, we appreciate the trust and confidence reposed in us by the Board and Management of UACN to guide this transaction to a successful completion.”