FBNQuest Raises Over N200bn CPs, Bonds For Clients In 3 Years

The management of FBNQuest, the merchant banking and asset management arm of FBN Holdings Plc, as part of its market development activities, has raised over N200bn for clients in the past 36 months.
Besides the traditional equities’ market equity market activities, the company said the capital raising exercises have encompassed issuance of Commercial Papers and bonds for various companies, which have included Nigerian Breweries, UACN Property Development Company, among others.
FBNQuest, most recently acted as Lead Financial Adviser and Issuing House on the Listing by Introduction of the entire issued and paid-up ordinary shares of Notore Chemical Industries Plc, the leading fertilizer and agro-allied companies in Africa, on the Main Board of the Nigerian Stock Exchange (NSE).
Notore Chemical’s 1,612,066,200 ordinary shares were listed at N65.50 per share as part of enhancing better liquidity of its ordinary shares in the secondary market, as well as offering it a platform to access long term capital from a wide range of investors when required. FBNQuest Securities also acted as the Lead Stockbroker on the listing.
Specifically, clients for which FBNQuest has issued N10.66bn Series 29-31 Commercial Papers on behalf of UPDC, and a ₦4.355bn Series 1 Senior Guaranteed Fixed Rate Bond. There are also: Mixta Nigeria’s N9.83 Billion Series 5 Commercial Paper, and Nigerian Breweries Plc’s N11.08bn series 13-15 Commercial Papers; and Municipality Waste Management Contractors’ N20.3bn Fixed Rate Medium Term Note.
There was also the 100% equity interest divestment of First Bank of Nigeria in FBN Mortgages; as well as Dufil Prima Foods’ 5-year ₦10bn Series 1 Fixed Rate Bond.
The bank has also raised about US$500m in equity from the public and private capital markets and also closed six Mergers &Acquisition deals over the period under review, describing in a statement, as a testament to the quality and consistency of execution which is evident in the several international awards received.
They include the prestigious African Banker Magazine’s Deal of the Year (Debt) award for the FGN’s $300m Diaspora Bond; The Banker Magazine’s Deal of the Year Africa in Islamic Finance for the FGN’s ₦100b 7-year Inaugural Sovereign Sukuk; as well as EMEA Finance Magazine’s Best M&A Deal Africa (Mid-Market) for the divestment of AMCON’s 100% Shareholding in Keystone Bank, Most Innovative Bond for the FGN’s $300m Diaspora Bond, and Best Social Development Bond for Mixta Real Estate’s ₦4.5b Senior Guaranteed Fixed Rate Bonds in 2018, to name a few.
Commenting on the Notore Chemicals’ listing, Kayode Akinkugbe, Managing Director of FBNQuest Merchant Bank said: “We are proud of the instrumental role FBNQuest Merchant Bank played in this transaction, and appreciate the trust Notore placed in us to assist them. Our clients remain our priority, and we strongly believe their success is our success.
“As a leading institution for financing, investing, trading, and advisory, we understand the role we must play in supporting our clients across the private or public sector and continue to build our team of industry experts across oil & gas, power, infrastructure, services, diversified industries, and other emerging sectors of the economy to enable us support their goals and objectives,” he added.
As a member of the FBN Holdings group, the statement assured that FBNQuest Merchant Bank is positioned to provide complementary services to the group’s expansive client base of retail, high net-worth and institutional customers. This is besides also offering a broader choice in financing, investments and transaction execution. The group continues to ensure the delivery of innovative initiatives to enhance its positioning and deliver shareholder value.