Nigeria’s leading merchant bank, Coronation Merchant Bank (CMB) limited has announced the launch of its Series XV and XVI Commercial Paper (CP) Issuance under its N100 billion commercial paper issuance programme which will be between 180 and 268 days tenor with 7.25 per cent interest yield under the Series XV 180 days and 9.64 per cent for the Series XVI 268 days paper for a target amount of up to N25 billion in size.
The merchant bank in a disclosure on Friday revealed that the subscription will be opened on Wednesday, April 7 with the offer closing on 13th of April 2021 with a minimum subscription value of N5 million at a discounted rate of 7.00 per cent for the Series XV 180 tenor and 9.00 per cent for the Series XVI 268 days tenor. Also, the circulation of the fund allocation to investors on the same April 13 while the investors are scheduled to fund their commitment on 14th April.
According to the disclosure accessed by business a.m, “We are pleased to notify you of the launch of the Series XIII and XIV Commercial Paper Issuances by Coronation Merchant Bank Limited (“Coronation MB” or the “Bank”) under its N100 billion Commercial Paper Programme. The Issuance will be across 180 and 268-day tenors for a target amount of up to N25 billion.”
Coronation Merchant Bank further revealed in the disclosure that the CP issuance is free and clear of withholding taxes while the proceeds from the programme shall be used for the short term working capital requirements of the company.
Coronation Merchant Bank, as a Private Limited Liability Company, is duly licensed by the Central Bank of Nigeria as a Merchant Bank in Nigeria to provide financial services in treasury, investment banking and corporate banking to corporate, institutional investors and high-net-worth individuals. The Bank, a well-recognized brand and “A” rated entity by Augusto and GCR and B- by Fitch, has consistently delivered strong financial performance, with its asset base and shareholders’ funds at N412.36 billion and N40.11 billion respectively, as on 31st December 2020.