Nigeria to issue N70b bonds April 15 | Independent Newspapers Limited
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Nigeria to issue N70b bonds April 15

Posted: Apr 8, 2015 at 6:50 am   /   by   /   comments (0)

Nigeria intends to raise N70 billion about ($352 million) in sovereign bonds with maturities ranging between five and 20 years on April 15, the Debt Management Office (DMO) said on Tuesday.

It will issue N30 billion in five-year bond and N20 billion each in 10- and 20-year notes at an auction, using the Dutch Auction System, according to a notice by the debt office.

All tenors are re-opening of previously issued papers, while results are expected the following day.

It would be recalled that the Central Bank of Nigeria (CBN) recently disclosed it raised N97.8 billion about ($491 million) in Treasury bills at an auction that fetched lower yields compared with the sale previous week, owing to strong appetite for the debt.

Investors, mostly domestic banks and pension funds, submitted bids totaling N297.06 billion, three-times more than the CBN had advertised but demanded yields ranging from 10 percent to 18 percent.

The bank said it sold N14.03 billion in 91-day notes at 10.69 percent, compared with 10.79 percent at the previous auction on March 18.

It auctioned 10.61 billion naira in 182-day bill at 14.5 percent, compared with 14.7 percent previously, while it raised N73.16 billion in the 1-year note at 14.85 percent, down from 15.35 percent at the last auction.