SEC APPROVES ACCESS BANK’S BOOK BUILD FOR PROPOSED GREEN BOND SUBSCRIPTION

Securities and Exchange Commission (SEC), the institution in charge of regulating the Nigerian Capital Market has approved the book build in respect of the proposed Green Bond, issued by Access Bank Plc.


Following the approval, the book build commenced on Thursday, February 21, 2019and will be concluded in exactly one week, after which the funding of commitment will begin on Friday, March 1, 2019.


The Bond, a 5-year Fixed Rate Senior Unsecured Green Bond of up to N15 Billion is the first ever Climate Bonds Standard Certified Corporate Green Bond to be issued in Africa. It has been awarded a B2 rating by Moody’s and verified by PwC (UK) following certification by the Climate Bond Initiative as having met the Climate Bond Standards.


The Bank’s management had in anticipation of the approval, launched the Nigerian Green Bond Market Development Programme in June 2018, in partnership with FMDQ OTC SecuritiesExchange and the Securities Exchange Commission.


While reacting to the approval, the Group Managing Director, Herbert Wigwe described it as a step in the right direction adding that it lends credence to the process and gives hope of a favourable outcome. According to Wigwe, the final approval of the Green Bond will mean another feat that is commendable and speaks to the vision of being a key player in the country’s finance sector. In his words, ‘With over a decade’s experience leading Sustainability in the Nigerian financial sector, we believe that the issuance of this bond will create a path to financing Nigeria’s climate change objectives and also unlock the country’s economic growth potential’.


He continued, citing the Bank’s rich experience in the area of sustainability as a factor that will guarantee its success, ‘With our pace-setting experience in the mainstreaming of sustainability in our business operations, we are confident that this Issue will further help in supporting environmentally friendly investors to meet their investment objectives whilst simultaneously supporting the Bank’scustomer towards realizing growth opportunities in the fast-developing low carbon economy’, he said.

The Issue proceeds will be used to finance eligible green projects that meet the Climate Bonds Initiative (CBI) standards. The Issue will serve as a turning point for Nigeria, attracting both domestic and international investors and will set the pace for other Nigerian corporates to raise green capital.

https://www.legit.ng/amp/1224149-sec-approves-access-banks-book-build-proposed-green-bond-subscription.html

A good move on economy

Green Bond ko, James Bond ni? They make and tweak the rules for their selfish purposes. FOOLS !!!

Abeg, what's the depth and volume of the national wealth in circulation? Securities that's ONLY meant for the Politicians to keep investing their loot.

AbiBuruji722:
A good move on economy

Sir... Can you please, elaborate on how this is good for the economy.

There is only one factor in the Nigerian Debt Capital Markets...

High interest rates baby...

All this bond...

Na still PFA go buy am

Ok

they want to borrow money and buy diamond bank

Someone should please help to explain the impact this will have on the economy and the common man cos I don't seems to understand any of the Jargons up there

My ex gal friend der go remember me when dem nack her target

IjebuWarrior:
Green Bond ko, James Bond ni? They make and tweak the rules for their selfish purposes. FOOLS !!!

Abeg, what's the depth and volume of the national wealth in circulation? Securities that's ONLY meant for the Politicians to keep investing their loot.

Truth, useless nation filled with useless thieves and challatans

KubwaBoy:
Time to start looking for Visa. Even Kenya, I no mind.

alaye we don hear

Femich18:
Someone should please help to explain the impact this will have on the economy and the common man cos I don't seems to understand any of the Jargons up there

Exactly! You won't understand due to the low quality of exposure of the average Nigerian youth! What's up there doesn't make a single sense yet, some fool up there is already happy and drooling. It's y'all foolish youths that support these miscreants! Ride on!

Na dis Kain thread God dey catch Naija youths ..... This ain't tonto dikeh

Most Nigerian commercial banks do not usually raise bonds and a bond like this B2 rated and verified by PWC is a good development for Access bank and the business community at large both National and International .....

Hmmmm, But Nigerian political environment is never stable nay the economic environment..... Me no wan here story that touch ooo.....

Nonetheless, the returns must definitely be commensurate with the riskiness !!

A Govt-sponsored scam!

Economics students please rescue me, what is the green bond about and how can I an unemployed graduate of mechanical engineering benefit from it.

Well Wont Say I Understand Whats Written Up There. Bt This Presidency Election Surely Gonna A Toll On Nigerians. Pray All Ends Well. Amen

A strategy (GreenBond) created by Access Bank, Approved and will be sponsored by FG.

Might even be implemented nationwide.

...you gerrit?

man2frayo:
Economics students please rescue me, what is the green bond about and how can I an unemployed graduate of mechanical engineering benefit from it.

Not an economist but can give my two cents. Essentially, green bonds are like a pool of funds available to investors (think energy companies, or SMEs) who are looking to execute major renewable/sustainable infrastructural projects. These could be anything from purchase of energy efficiency infrastructure to deployment of offshore wind-turbines.

How do investors get returns?
Ideally investments in such green projects should provide financial returns to the borrowing investor who then pays back any borrowed funds. These come back to the bond investor with some form of gain which isn't taxed.

Where do the funds come from?
These could be raised from investors through financial institutions who serve as a hub. Investors could be the public sector or private individuals looking to invest in sustainability projects as described above.

Why Would investors choose green bonds over taxable bonds?
Because returns on these bonds are not taxed. This is an incentive from bond issuers and the Climate Bond Standard Board to encourage investment in Green infrastructure.

All of these is just my rough thinking. Can use correction from more knowledgeable folks here.

IjebuWarrior:


Sir... Can you please, elaborate on how this is good for the economy.

The only green these guys want to know is green dollars.

how I wish I understands better.

IjebuWarrior:
Green Bond ko, James Bond ni? They make and tweak the rules for their selfish purposes. FOOLS !!!

Abeg, what's the depth and volume of the national wealth in circulation? Securities that's ONLY meant for the Politicians to keep investing their loot.

........
You are GLARINGLY NAIVE!

berildan:


Not an economist but can give my two cents. Essentially, green bonds are like a pool of funds available to investors (think energy companies, or SMEs) who are looking to execute major renewable/sustainable infrastructural projects. These could be anything from purchase of energy efficiency infrastructure to deployment of offshore wind-turbines.

How do investors get returns?
Ideally investments in such green projects should provide financial returns to the borrowing investor who then pays back any borrowed funds. These come back to the bond investor with some form of gain which isn't taxed.

Where do the funds come from?
These could be raised from investors through financial institutions who serve as a hub. Investors could be the public sector or private individuals looking to invest in sustainability projects as described above.

Why Would investors choose green bonds over taxable bonds?
Because returns on these bonds are not taxed. This is an incentive from bond issuers and the Climate Bond Standard Board to encourage investment in Green infrastructure.

All of these is just my rough thinking. Can use correction from more knowledgeable folks here.

What is the ROI?

Capensis:

What is the ROI?

Return on investment

KubwaBoy:
Time to start looking for Visa. Even Kenya, I no mind.

No need to run, we are magnanimous in our victory.

What is the rate?

Some people sha,explain the importance to us ,you they yab persin,abegi if you no know,no crime ,just swerve inside third mainland left deep.

this op too self that is just writing grammar without considering we the son of the plank sellers wey dey hear.We no go Queen's college jare

berildan:


Not an economist but can give my two cents. Essentially, green bonds are like a pool of funds available to investors (think energy companies, or SMEs) who are looking to execute major renewable/sustainable infrastructural projects. These could be anything from purchase of energy efficiency infrastructure to deployment of offshore wind-turbines.

How do investors get returns?
Ideally investments in such green projects should provide financial returns to the borrowing investor who then pays back any borrowed funds. These come back to the bond investor with some form of gain which isn't taxed.

Where do the funds come from?
These could be raised from investors through financial institutions who serve as a hub. Investors could be the public sector or private individuals looking to invest in sustainability projects as described above.

Why Would investors choose green bonds over taxable bonds?
Because returns on these bonds are not taxed. This is an incentive from bond issuers and the Climate Bond Standard Board to encourage investment in Green infrastructure.

All of these is just my rough thinking. Can use correction from more knowledgeable folks here.

Spot on and largely true!

Femich18:
Someone should please help to explain the impact this will have on the economy and the common man cos I don't seems to understand any of the Jargons up there

man2frayo:
Economics students please rescue me, what is the green bond about and how can I an unemployed graduate of mechanical engineering benefit from it.

Lawless101:
how I wish I understands better.

mamaafrik:
this op too self that is just writing grammar without considering we the son of the plank sellers wey dey hear.We no go Queen's college jare

Green bonds are taken to finance Environmental friendly and sustainability projects - aimed at renewable energy instead of fossil fuels like Crude oi (Gas, Petrol, Deisel engines etc.) or Coal powered engines - like this old locomotive trains etc.

So you don’t just borrow the money - you certify that you will use it to fund projects/infrastructures that fosters clean transportation, sustainable water management and the cultivation of environmentally friendly technologies etc.

Think about Climate change issues generally...

Problem is that the FGN should be the one issuing this bond - in order to meet up with Nigeria’s commitment under th Paris Agreement. I don’t imagine Nigeria will meet up with its INDC with the manner in which we keep encouraging crude oil products/refinery in this country.

Hope his helps!

Scam.

Give person business loan, una no go give.

But you extract cheap funds from public.