Fidelity Bank issues N41 bn local bond to support SME, retail business

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The unsecured bond has a tenor of 10 years and a coupon rate of 8.5 per cent.

Tier 2 lender Fidelity Bank says it has completed the issuance of a fixed rate unsecured bond of N41.21 billion with a tenor of 10 years at an 8.5 per cent coupon rate.

The bank said the debt-raising was 137 per cent subscribed as total investor interest and commitment came to N56.6 billion, affirming the bank’s “capacity to successfully execute debt capital market transactions.”, “the transaction is a landmark achievement in the Nigerian domestic debt market for being the largest corporate bonds ever issued by a Nigerian Bank including the deposit money banks and merchant banks etc.

The bond “validates the continued investor confidence in our corporate strategy and aspirations, strong corporate governance structure and solid and stable executive management team with robust history of superior financial performance and returns,” said Fidelity Bank Chair Mustapha Chike-Obi.

 

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