The Lagos Free Zone (LFZ) N25 billion series 2 bonds, which is Nigeria’s first 20-year corporate infrastructure bond, have been launched on the Nigerian Exchange Limited (NGX) market.
LFZ is the infrastructure development company of the Tolaram Group and the first private free trade Zone in Nigeria. LFZ can sell all their goods in Nigerian customs territory with no state or federal taxes charged without an import or export license. They can also repatriate their profits and dividends.
The Exchange also hosted a Closing Gong ceremony to commemorate the listing of LFZ’s N25 billion 20-year, 13.25 percent Series 2 Senior Guaranteed Fixed Rate Infrastructure Bond.
It will be noted that the Company listed its first issue of N50 billion in bonds on August 8, 2022, through LFZC Funding SPV Plc. The bonds were N25 billion in 20-Year 13.25 percent Series 2 Senior Guaranteed Fixed Rate Infrastructure Bonds Due 2042.
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Speaking at the listing of the second tranche, Jude Chiemeka, Divisional Head, Finance Markets, NGX, praised the company for the historic transaction and praised the Nigerian debt market as a legitimate source of domestic capital for Nigerian infrastructure development.
The CEO of LFZC, Mr. Dinesh Rathi, stated: “This bond is a part of N50 billion bond program, which we had initiated last year and this current listing entails the series two of N25 billion long term bonds, a 20 year fixed rate instrument and the longest tenure bond in Nigeria’s debt capital market.”
Source: Techeconomy