Gombe state sells N5bn bond at 16 percent yield

Gombe State has raised N5 billion ($25 million) by selling a 7-year bond with a 16 percent yield to help fund new roads and schools, an official said on Friday.

The bond, which was issued with a maturity date of 2022, is the first tranche of a N10 billion debt issuance programme, the official who is an adviser to the issue said in a notice.

A total of three applications for 5 million units of 1,000 naira each was received from investors.

The state had in 2012 issued a 20 billion naira 7-year bond maturing in 2019 with a yield of 15.5 percent.