The Nigerian Exchange (NGX) Limited yesterday said the N115 billion bond raised by BUA Cement Plc was a sign of high confidence investors place on the reputable brand and its future prospects.

BUA Cement accessed the market to raise about N100 billion which was oversubscribed by 37 per cent.

However, only N115 billion was absorbed by the cement firm in accordance with the guidelines of Securities and Exchange Commission (SEC).

Speaking during the listing of the bond on the exchange, Divisional Head, Listings Business, NGX, Mr. Olumide Bolumole, said: "We are, therefore, excited about BUA Cement's debut bond offering which was oversubscribed by 37 per cent to the tune of N137.82 billion and represents the largest amount raised by a corporate issuer in the history of Nigeria's debt capital market. Without a doubt, this is a testament to the high level of confidence placed on this reputable brand by its investors and the entire market."

According to in line with its commitment to support Nigeria's economic growth by providing a liquid, efficient, and multi-asset securities exchange hub, NGX continues to provide a platform that offers investors varied options including equity, fixed income, exchanged traded products (ETPs) and other funds.

On his part, the Chief Executive Officer, BUA Cement Plc, Yusuf Binji, thanked the management of the exchange for the invitation to bring trading activities to a close.

"Today marks another key milestone on our journey to becoming the preferred cement manufacturer in Africa. As part of our growth strategy, we took the deliberate decision to access the debt capital market with the intent to raise N100 billion in the first tranche of our N200 Billion programme. Given the overwhelming response and in accordance with the SEC's guidelines, we accepted N115 billion as the total subscription amount. For us this was clear assessment of our viable business model, strong financial performance, and the strength of our product offerings."

Speaking on behalf of the parties to the transaction, the Chief Executive, Stanbic IBTC Capital, Mr. Funso Akere said: "We are, extremely delighted to have advised BUA Cement Plc on this landmark transaction where they took advantage of very supportive conditions in the debt capital market to raise long term funding. On behalf of Stanbic IBTC Capital Limited, Tiddo Securities and Union Capital, we would like to thank BUA Cement for giving us a freehand to guide them and the commitment showed to make the transaction a phenomenal success. We would also like to thank NSE for giving us a platform to list the bonds."

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