Nigerian Breweries unveils Series 9 and 10 Commercial Papers to raise additional US$52.5m

NIGERIA – Nigerian Breweries has declared open its series 9 and 10 Commercial Paper (CP) program for subscription by investors as a continuation of its N100 billion (US$262m) CP program, aimed to raise up to N20 billion (US$52.50m).

The program which opened on 23rd October 2020 will comprise of a tenor of 180 days for Series 9 while Series 10 would be for 270 days.

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According to reports by Naira Metrics, the funding will be used to support the company’s short-term funding needs as it navigates through the recent impact of COVID-19 and other trade disruptions.

“The CP Programme continues to provide the opportunity for non-equity investors to invest in the company, support the company’s cost management initiatives and serve as an additional source of funding for the company,” noted Nigerian Breweries.

According to data obtained from Financial Market Dealers Quote (FMDQ), Nigerian Breweries has raised up to N90.12 billion (US$236.5m) since the start of the year.

N52.76 billion (US$138.47m) was raised from Series 6 between February 12 to November 6, 2020, while N13.03 billion (US$34.20m) was raised from Series 7 from April 15 to October 14, 2020.

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An added N24.33 billion (US$63.85m) was raised from Series 8 from April 15 to January 8, 2021. The recent issuance of the Series 9 and 10 CP will bring the total funds raised to N110.12 billion (US$289m).

“The CP Programme continues to provide the opportunity for non-equity investors to invest in the company, support the company’s cost management initiatives and serve as an additional source of funding for the company.”

Nigerian Breweries

According to the brewer’s half year results for 2020, revenues stood at N152 billion (US$ 393.56 million), a significant drop compared to the N170 billion (US$ 440.17 million) recorded in the corresponding period of 2019.

Meanwhile, soft beverage manufacturer Coca-Cola Nigeria has donated N20 million to cover the medical bills of victims of #EndSARS protests.

The beverage marker announced this in a statement on its twitter account saying, “Every human life matter and as a company, our goal is to continue to work with our communities towards the wellbeing of the people.”

The Lekki tollgate shootings has gathered international attention after videos of alleged Nigerian soldiers shooting into a crowd of unarmed protesters went viral.

Coca-Cola Nigeria said the donation would be supplied in partnership with Whitefield Foundation, a not-for-profit social enterprise.

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