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Wednesday, March 6, 2019

United Capital Appointed Issuing House for N8.5bn NSP Green Bond

According report, the United Capital Plc has been appointed lead issuing house and financial adviser of the first N8.5 billion Corporate Green Infrastructure Bond offer by the North South Power Company (NSP).

The Securities and Exchange Commission (SEC) has approved the 15-year tenor bond, which represented the
longest tenured bond issued by a corporate in the country.

The series 1 green bonds was assigned AAA national scale rating by Agusto & Co. and GCR  having being guaranteed by Infrastructure Credit Guarantee Company Limited and certified by TUV NORD CERT, an approved verifier under the Climates Bonds Standard, in conformance with the International Capital Market Association’s Green Bond Principles, Nigerian Federal Ministry of Environment’s Nigerian Green Bond Guideline and the Green Bonds Issuance Rules of the Nigeria Securities & Exchange Commission.

Speaking at the signing ceremony over the weekend in Abuja, Executive Vice Chairman/Chief Executive, NSP, Mr.  Olubunmi Peters said “with the completion of the Series 1 Guaranteed Green Infrastructure Bonds issuance, North South has established a long-envisioned link with a more sustainable long-term, local currency financing required to implement its ambitious strategic power generation expansion plan through the capital markets.”

Chairman, NSP, Mallam Ibrahim Aliyu, said the offer represented a “first testing of the waters” by the company as it would be the first time it would raise funds from the formal capital market, though it had raised money from commercial banks. 

He said: “We operate the best post transaction power asset in Nigeria and it is our intention to maintain this lead and improve it to create in due course, a vertical power company engaged in a number of power activities.........

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