FMDQ Exchange lists Dangote Industries N300bn bonds

FMDQ Securities Exchange Limited (FMDQ Exchange) has approved the listing of the N187billion Dangote Industries Series 1 (Tranche A & B) and N112.42 billion Series 2 Senior Unsecured Bonds under its N300 billion Debt Issuance Programme on its platform.

The Series 1 and 2 bonds were listed on FMDQ Exchange in November 2022 and March 2023, respectively.

Dangote Industries Funding is a special purpose vehicle set up by Dangote Industries Limited to raise finance through the listing of debt securities.

Dangote Industries is a diversified and fully integrated conglomerate with an annual group turnover of over $4 billion with vibrant operations in Nigeria and Africa across a wide range of sectors, including cement, sugar, salt, condiments, packaging, energy, port operations, fertiliser and petrochemicals.

To mark the event, FMDQ Exchange, in keeping with its tradition, held a listing ceremony at its offices recently.

Present to celebrate the successful admission of the bonds on FMDQ Exchange were the issuer, Dangote Industries Limited, represented by the Group Managing Director, Mr. Olakunle Alake and other representatives of the comapany.

Whilst welcoming the guests to the ceremony, Ms. Tumi Sekoni, Managing Director, FMDQ Exchange, represented by Ms. Jumoke Olaniyan, Senior Vice President, Business Development Division, FMDQ Exchange, congratulated the issuer and sponsors to the issue for achieving the milestone, noting that their decision to raise funds from the debt markets via the Exchange’s platform was testament to the highly efficient time-to-market and unrivalled listing and quotation service offered by FMDQ Exchange.

She also commended the sponsors of the bonds for their concerted efforts towards ensuring the success of the issuances. She reiterated the Exchange’s commitment to continue to innovate and provide efficient services, to support issuers and investors, towards achieving an operationally excellent and globally competitive debt market.

Mr. Alake, whilst delivering his address said: “We thank the investor community, Securities and Exchange Commission, FMDQ Exchange, and our team of professional advisers led by Standard Chartered Capital and Advisory Nigeria Limited and Stanbic IBTC Capital Limited for ensuring successful outings on both our debut and subsequent bond issuances.

“The Series 1 and 2 bond issuances represent the largest aggregate local currency corporate bond issuances within a calendar year and under a single programme in the history of the Nigerian debt markets. Proceeds of the series 1 and 2 bonds were dedicated to part-financing the Dangote Petroleum Refinery Project which is the initiative by Dangote Group to establish an Integrated Petrochemical Complex, and the largest Single Train Petroleum Refinery in the World.

“Ultimately, the completion of the refinery would facilitate our ability as a country to meet our local demand for refined crude products, gearing us towards self-sufficiency.”

“At Dangote, we remain resolute in our commitment to the Nigerian and African story and continue to demonstrate this through investments in projects and initiatives that directly improve the quality of lives of our people. Indeed, these are very exciting times for us as a business, and we would continue to welcome opportunities to work with stakeholders in the domestic capital markets, towards accelerating economic activities across Africa, whilst maximising stakeholder returns.”

Delivering the sponsor’s remarks, the Chief Executive Officer, Standard Chartered Capital and Advisory Nigeria Limited, Mrs. Yemisi Deji-Bejide, on behalf of the other sponsors to the Series 1 bonds, said: “Standard Chartered Capital and Advisory Nigeria Limited is proud to have led this historic transaction. The phenomenal success of this transaction reflects the strong credit quality of the issuer as well as the depth and resilience of the Nigerian domestic markets, despite the global market volatility.”