14 JULY 2016-Dufil Prima Foods plc, one of the domineering entity in Nigeria’s culinary landscape and producers on Indomie Instant Noodles, has completed arrangements for establishing its N30 billion Commercial Paper (CP) Programme following the signing ceremony held in Lagos, Wednesday (13 July 2016).
The move affords the company opportunity to periodically access the institutional money markets for short-term funding.
“By embarking on this initiative, we are also seeking to diversify our funding sources to include the non-bank financial institutions, while also contributing towards a more active domestic capital markets in Nigeria. This also speaks to the very core of our beliefs in being relevant in our local markets,” Madhukar Khetan, chief operating officer, Dufil Prima Foods, said.
Speaking at the signing ceremony, Khetan said: “We at Dufil Prima are pleased to launch our CP programme, which affords us the opportunity to periodically access the institutional money markets for short-term funding.”
Also, Kobby Bentsi-Enchill, executive director/head, Debt Capital Markets, Stanbic IBTC Capital Limited, said, “This initiative by Dufil Prima is yet another noteworthy example set by a top company and industry leader in Nigeria, in relation to global best practise in treasury management and innovation to cope with evolving market conditions. Stanbic IBTC Capital has been at the forefront of advising our clients on staying ahead of changing times, and we are pleased on this occasion to assist yet another client of ours in shaping their funding strategy.” Global Credit Rating & Co recently rated the company A-.
Commercial paper is an unsecured, short-term loan issued by a company for financing accounts receivable and inventories.
