Nigeria: RMB Nigeria to Raise 80 Billion From FMDQ for Projects

Jun 18, 2017 | The Guardian; All Africa

Infrastructure projects' financing by corporates in the country would soon receive added boost as Rand Merchant Bank (RMB) Nigeria got approval from FMDQ OTC Securities Exchange to register its N80 billion Commercial Paper (CP) Programme on the FMDQ platform.

The programme, which is the first for RMB Nigeria in the local money markets, will form an integral part of the bank's funding strategy, as it provides an avenue to successfully diversify its short-term funding sources thereby delivering value to its shareholders. Besides, the debt move, positions RMB Nigeria to easily and quickly raise short-term finance from the debt market, as well as at competitive costs. The formal signing of the deal was conducted in Lagos at the weekend, with officials of FMDQ, the lead arrangers - Standard Chartered Bank, Rand Merchant Bank Nigeria, and Stanbic IBTC Capital, and law firms - Aluko & Oyebode and Banwo & Ighodalo, in attendance. The Managing Director of RMB Nigeria, Michael Larbie, in a chat with newsmen, affirmed that the bank has business interests in the country's infrastructure projects, particularly in the power sector, which the debt proceeds will help in financing further. "As part of our funding to support our banking activities, we seek to employ a variety of options and the commercial paper is certainly one that allows us to do so. We are excited and it is going to be a part of our package that include bond offering, which would soon be realized. Read more on All Africa. Source: All Africa