Dangote Cement Plc to access more debt funding
Published by Emily Thomas,
Deputy Editor
World Cement,
Dangote Cement Plc, has had approvals from its board of directors to access the capital markets for medium-term debt funding. The news was shared in a notification sent by the company to the Nigerian Stock Exchange (NSE) and signed by Edward Imoedemhe, the Deputy Company Secretary.
The company is the largest cement producer in Sub-Saharan Africa, with operations across 10 African countries and an installed capacity of 45.6 million metric tons.
Under its N300 billion shelf programme, the company is planning to issue series 1 bonds, and obtain regulatory approvals and favourable market conditions. Series 1 bonds are non-marketable bonds, that cannot be bought or sold in secondary markets, that offer low-risk investments. Series 1 bonds earn an interest rate that is fixed for the life of the bond, and an inflation rate.
The Series 1 bonds are to be used to refinance short-term debts from cement expansion projects. The funds will also be used for general corporate purposes and additional working capital. After receiving approval by the Security and Exchange Commission (SEC), the book-building for the Series 1 bonds is expected to begin.
This article was first published here: https://bit.ly/2wt6jGO
Read the article online at: https://www.worldcement.com/africa-middle-east/25032020/dangote-cement-plc-to-access-more-debt-funding/
You might also like
The World Cement Podcast - CleanTech & Venture Capital
Our guest for this episode of the World Cement Podcast is Alfredo Carrato, Venture Capital Advisor for CEMEX Ventures. Listen in to the conversation as World Cement's Senior Editor, David Bizley, and Alfredo discuss the role of venture capital and cleantech in enabling the cement industry's green transition.
Tune in to the World Cement Podcast on your favourite podcast app today.
