FRI 18 MARCH, 2022-theGBJournal| Nigeria officially raised USD1.25 billion through the issuance of Eurobonds in the International Capital Market (ICM), making the country the first African country to access the ICM in 2022.
‘’Nigeria’s ability to access the International Capital Market at this time is a confirmation of her established presence in the ICM and engagement with investors on a continuous basis,’’ the Debt Management Office (DMO), Nigeria said in a statement Thursday after the issuance was announced.
The offer was launched at an Initial Price Thoughts of 8.75% per annum and on the back of strong investor demand, Nigeria was able to revise the price guidance to 8.5% per annum. The Order Book subsequently grew, reaching a peak of $4 billion. The Order book included many quality investors in the United States, Europe and Asia.
‘’With this strong investor interest, the price was tightened to 8.375% per annum, the Order Book still remained high at $3.676 billion and retained the quality investors,’’ DMO noted.
Nigerian investors also participated in the Offer with a total subscription of $60 million.
The DMO said the proceeds of the Eurobond will be used to finance critical capital projects in the federal budget to bridge the deficit in infrastructure and strengthen Nigeria’s economic recovery.
‘’Equally Important, it would be contribute directly and in full to the level of Nigeria’s external reserves,’’ according to the DMO
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