Eterna Plans N10bn 270-Day Commercial Paper Issuance

Integrated energy company- Eterna Plc, on Tuesday, October 9, 2018, informed the Nigerian Stock Exchange (NSE) of its proposed N10bn, 270-day commercial paper.
According to the notice by Mahmud Tukur, the company’s managing director and chief executive, “funds raised in the CP will be used for working capital and general corporate purposes.”
There has been an increased competition and demand among corporate entities seeking innovative ways to source funding to finance their institutional needs, mainly via commercial papers (CP) to raise short-term finance to support their business operations.
According to FMDQ OTC Exchange in its September newsletter, “the past few months have seen increased participation in the issuing and quotations of CPs on FMDQ, which have all been successful as investors scrambled to partake in the offers.”
In September key activities in the CP quotations space saw the approval of the quotation of
Access Bank PLC’s ₦28.79bn Series 18 CP under its ₦100.00bn CP Programme, as well as Sterling Bank PLC’s ₦14.40bn Series 6 and ₦32.58bn Series 7 CP under its ₦100.00bn CP Programme. There was also the Flour Mills of Nigeria PLC N8.01bn Series 1 CP under its N100.00bn CP Programme.