Presco Plc, the market leader in the supply of specialty fats and oils, has announced the successful issuance of N34.5 billion Series 1 seven-year Fixed Rate Bonds under its N50 billion Bond Issuance Programme.
Mr Felix Nwabuko, Managing Director of Presco Plc, praised the institutional investor community for its support of the transaction during a signing ceremony held on Tuesday at the Company’s Obaretin Estate in Benin, Edo State.

The bond issue, according to the company, was 247 percent subscribed and priced at a coupon rate of 12.85 percent.

This is Presco’s first bond issuance in Nigeria’s debt capital markets, and the Bond Issue drew interest from a diverse group of investors, including pension funds, asset managers, insurance companies, banks, and high-net-worth individuals.

Presco aimed to raise N30 billion, but the order book closed at N74 billion, so the company decided to issue an additional 15% to investors, raising a total of N34.5 billion.

Stanbic IBTC Capital Limited served as the Bond Issue’s Lead Issuing House, while CardinalStone Partners Limited and Quantum Zenith Capital and Investments Limited served as Joint Issuing Houses.

“Stanbic IBTC Capital, CardinalStone Partners, and Quantum Zenith Capital are delighted to have advised Presco on its debut issuance in the Nigerian debt capital markets,” Funso Akere, Chief Executive of Stanbic IBTC Capital, said.

“We thank the institutional investor community for its support of the Issue, as its success should encourage other companies in similar situations to access domestic debt capital markets.”

“We also thank Presco’s Board and management for allowing the Issuing Houses to guide the process.”

Quantum Zenith Capital’s Managing Director/Chief Chief Executive Officer, Kennedy Ichibor, and Cardinal Stone’s Michael Nzewi praised Presco Plc for creating a conducive environment for the transaction and for keeping the company on the path of growth over the years.



In the meantime, the Bonds will be listed on the Nigerian Exchange Limited and the FMDQ Securities Exchange.

SOURCE:https://brandspurng.com/2022/04/10/presco-issues-a-series-1-bond-worth-n34-5-billion/