A.R.N Foods Limited, a leading agricultural commodities trading firm in Nigeria, has announced the successful completion of its Series 1 Commercial Paper (CP) Issuance, raising ₦3.86 billion under its ₦5.00 billion Programme.
In a statement made available to newsmen on Tuesday, the company said the issuance surpassed the initially planned ₦3.5 billion due to strong investors’ demand.
The firm noted that the CP issuance attracted overwhelming interest from a diverse group of investors, including asset managers, insurance companies, and fund managers.
“This positive reception underscores the strong credit quality of A.R.N Foods and investors’ confidence in the company’s operations and long-term strategy.
“Pathway Advisors Limited acted as the Transaction Sponsor, Lead Arranger, Financial Adviser, and Dealer, while AIICO Capital Limited, FSDH Capital Limited, Boston Advisory Limited, Norrenberger Advisory Partners Limited, and BAS Capital Limited served as Joint Arrangers for the transaction,” it said.
Commenting on the success of the issuance, Mr. Nola Adetola, Chairman of A.R.N Foods Limited, stated: “We are delighted to have successfully completed our debut CP Issuance in the Nigerian debt market. This achievement is a testament to the strength of our company, the sustainability of our products, and the trust placed in us by the investing community.
“The proceeds from this issuance will be used to support our working capital needs, enabling us to enhance operational efficiency and drive growth.
“The success of this issuance also allows us to optimize our funding costs while advancing our strategic initiatives.
“We sincerely appreciate the investors and all transaction parties involved for their support.”
Also speaking on the significance of the transaction, Mr. Adekunle Alade, MD/CEO of Pathway Advisors Limited, said: “Pathway Advisors Limited is proud to have led this landmark CP Issuance for A.R.N Foods Limited. The success of this issuance reflects the confidence of the capital market in the company’s robust fundamentals, strong corporate governance, and long-term growth prospects. We remain committed to structuring innovative and cost-effective financing solutions that enable Nigerian businesses to achieve their strategic objectives.
“We appreciate the trust placed in us by A.R.N Foods and all participating investors in this transaction.”
ARN Foods Limited is a dynamic agro-commodity trading and food processing company, originally incorporated as A.R.N Farms Limited. The company specializes in the trade of rice, maize, sesame seeds, soya bean seeds, cocoa, and sorghum, leveraging its expertise to drive growth and innovation.
