The transaction generated unprecedented domestic demand, raising over US$900 million, to achieve over 180% subscription levels, emphasizing United Capital’s placing power in the capital markets and strong investor confidence in Nigeria’s economic stability and growth potential.

This first issuance under the Domestic FGN US Dollar Bond program offers a 9.75% yield and attracted significant demand from a diverse group of investors, including Nigerians and non-Nigerians residing in Nigeria, Nigerians in Diaspora, and institutional investors. The bond will be listed on the Nigerian Exchange Limited (NGX) and FMDQ Securities Exchange Limited (FMDQ Exchange). The proceeds from the bond will be deployed to critical sectors of the economy, as part of ongoing efforts to sustain growth and address key infrastructure gaps.

Commenting on the success of the issuance, Dr. Gbadebo Adenrele, Managing Director, Investment Banking at United Capital Group, said “This is a landmark moment for Nigeria’s capital market. As a pioneer in this class of transactions, United Capital has laid the foundation for more such significant capital raises by the Nigerian Government, other African sovereigns and major corporate issuers. The successful issuance of the Domestic FGN US Dollar bond is a testament to investor confidence in the country’s economic growth trajectory and our innovative approach to finance”.

The Group CEO, United Capital Group, Peter Ashade, emphasized United Capital’s commitment to developing Africa’s capital markets. “The successful issuance of Nigeria’s inaugural Domestic FGN US Dollar bond is a significant milestone for both the country and United Capital. This transaction aligns perfectly with our vision of transforming the African financial landscape. By providing access to innovative investment opportunities, we are empowering investors and contributing to Nigeria’s economic growth”.

Alongside United Capital’s role as the Lead Issuing House/Coordinator for the domestic bond issuance; Africa Finance Corporation served as the Global Coordinator; Meristem Capital Limited, Stanbic IBTC Capital Limited and Vetiva Advisory Services Limited acted as Issuing Houses; Constant Capital Markets & Securities Limited and Iron Global Markets Limited acted as Financial Advisers; Olaniwun Ajayi LP and G. Elias acted as Solicitors; and Greenwich Trustees Limited acted as Trustee.

United Capital Group’s pivotal role in this transaction highlights its capacity to lead and manage significant capital market activities, as recently demonstrated with the listing by introduction of Transcorp Power Plc on the Nigerian Exchange Limited and the issuance of Sierra Leone’s first local currency corporate bond, reinforcing its reputation in Africa’s financial landscape.

About United Capital Group

United Capital Group is a leader in the financial and investment services space, offering a complimentary suite of service offerings: Investment Banking, Asset Management, Trusteeship, Securities Trading, Wealth Management, Consumer Finance and Microfinance Banking. The Group is transforming the African continent by providing innovative and creative investment solutions to governments, companies, and individuals.

United Capital is listed on the Nigerian Exchange Limited and is a financial and investment services role model for Africa, leveraging innovation, technology, and specialist skills to exceed client expectations, while creating value for all stakeholders.

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Mohammed Manga, Director, Information and Public Relation, of the ministry disclosed in a statement that in a groundbreaking achievement, Nigeria had successfully launched its first domestic dollar-denominated bond, shattering records and signaling a new era of financial innovation and economic growth.

“With over 900 million dollars raised, this milestone marks a significant turning point in the country’s financial strategy.

“It bolsters its economic resilience and cements its position as a leader in Africa’s financial markets.

“It also signals a new chapter in the country’s financial strategy, aimed at boosting economic resilience and fostering long-term growth,” he said.

According to him, led by the Africa Finance Corporation (AFC), the initiative garnered significant interest from both local and international investors.

He said that it demonstrated confidence in President Bola Tinubu’s economic policies and development plans.

“The success of this bond sets a new precedent for other African nations, highlighting the potential of Africa’s financial markets on the global stage,” he said.

Speaking further, the Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, commended the outcome.

“I am particularly pleased that as Chair of the African Caucus, we have launched an initiative that not only strengthens Nigeria’s economic resilience but also expands the horizon for capital markets of African economies,” he said.

“With this bond issuance, Nigeria is positioning itself as a leader in financial innovation, driving both national and regional growth through strategic economic measures.

“The funds raised from this bond will be directed toward critical infrastructure projects and development programmes, further strengthening key sectors of Nigeria’s economy.

“As Nigeria celebrates this groundbreaking achievement, it is clear that the country is poised for a brighter economic future, especially with the successful launch of its first domestic dollar-denominated bond,” he said.

“As the funds raised from this bond are directed toward critical infrastructure projects and development programmes, Nigerians can expect tangible improvements in their standard of living and a stronger economy for generations to come.

“This milestone marks a new era of financial innovation and economic growth, solidifying Nigeria’s position as a leader in Africa’s financial markets and a beacon of hope for the continent’s economic future,” he said.

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