The Nigerian Stock Exchange has listed the Axxela Funding 1 Plc’s N11.5 billion Series 1.
Axxela recently raised the bond under its N50 billion Issuance Programme. The bond was originally N10 billion but at the conclusion of the book build, the issuance was 24% oversubscribed, and the development presented the company with the mandate to accept an additional 15 per cent of the proposed issuance size.
Highlights of Axxela bond Issuance programme are as follow;
Bond Description N11, 500,000,000 – 14.30% Fixed Rate Series 1 Bond Due 2027 under the N50, 000,000,000
Security Name: 14.30% AXA MAY 2027
Series Amount: N11, 500,000,000
Unit Value: 1,000
Price: N1, 000
Coupon: 14.30% Fixed Rate
Issue Date: 20 May 2020
Maturity Date: 20 May 2027
Tenor: 7 years
Coupon Payment: Date Semi-annual coupon payments, payable in arrears on the 6th and 12th month of each year on the Issue date up to and including the Maturity Date.
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Speaking on the inaugural issuance, Chief Executive Officer, Axxela Limited, Bolaji Osunsanya said: “Our milestone debut market entry underpins the necessary symbiosis between private entities and debt capital markets. We appreciate the support of all corporates, professional parties, and investors involved in the ratification and issuance process.
“The favorable response indicates the level of investor confidence in our company’s reputation, brand, and performance. This funding will support our multi-pronged growth strategy of optimizing our operations and assets, expanding our footprint, and revolutionizing the midstream sector. As a prime portfolio company with demonstrated leadership within the sector, we remain uniquely positioned to satisfy the growing natural gas and energy demand across the sub-region.”