â¦Admits NSP-SPV PowerCorp PLC â¦50.00 Billion Green Bond Issuance Programme on its Platform
Globally, the green bond market has shown exponential growth as corporate entities and governments are raising funds from the debt capital markets (DCM) to finance environmentally friendly projects to support the development of their countries.
FMDQ Securities Exchange Limited (FMDQ Exchange), a wholly-owned subsidiary of FMDQ Group, in furtherance of its commitment to enhancing access to capital to address environmental challenges, as well as championing development in the Nigerian DCM, welcomed the listing of the NSP-SPV PowerCorp PLC â¦6.33 billion Fixed Rate Series 2 Senior Unsecured Green Bonds (Green Bond) under its â¦50.00 billion Bond Issuance Programme to its platform, following the approval of its Board Listings and Markets Committee.
The proceeds from this issuance will be used to fund the development of the 15MW Pre-Phase 1 Solar Project and the transmission evacuation infrastructure for NSP PowerCorp PLCâs Solar Project, further fuelling the development of power in Nigeria.
Speaking on the successful issuance of the Bond, the Executive Vice Chairman/Chief Executive Officer, North-South Power Company Limited (âNorth-South Powerâ), Engr. Olubunmi Peters stated that
âThis landmark transaction reinforces our belief and commitment in promoting clean energy generation in Nigeria. It also demonstrates growing investor confidence in our business, management team, and long-term strategy. We remain committed to unlocking opportunities within the power and infrastructure industry and promoting a sustainable energy solution for Nigeria.
We thank the Lead Issuing House, Stanbic IBTC Capital Limited, as well as the Joint Issuing Houses on the transaction â Renaissance Securities Limited, AVA Capital Partners Limited, CardinalStone Partners Limited, EAC Advisory Limited, Rand Merchant Bank Nigeria Limited, and Vetiva Capital Management Limited for their hard work and commitment in ensuring a successful outcome.
We also thank all other professional parties, the technical consultants â TUV Nord Cert, Financial Sector Deepening Africa (âFSD Africaâ), Climate Bonds Initiative (âCBIâ) and the FMDQ Nigerian Green Bond Market Development Programme. We also thank FMDQ Exchange and the Securities and Exchange Commission for their relentless support through the entire issuance processâ.Â
Also, the Chief Executive Officer, Stanbic IBTC Capital Limited (the Sponsor of the Bond on the Exchange and a Registration Member Listings of FMDQ Exchange), Mr. Funso Akere commented,
âWe are delighted to have advised on this landmark issuance which reflects the depth and diversity of the Nigerian DCM. The success of the transaction demonstrates investorsâ confidence in North-South Power, its sector, people, and strategic direction.
Stanbic IBTC Capital Limited is also extremely grateful to have been given this opportunity by North-South Power to add yet another successful green bond issuance to its stable. The promotion of the three pillars of sustainability, that is social equity, economic viability and environmental protection are one we keep dear to our core strategy and values, as members of Standard Bank Groupâ.
The Nigerian Green Bond Market Development Programme (âthe Programme”), which provided technical support for the NSP-SPV PowerCorp PLC Series 2 Green Bond, by facilitating crucial engagements between the parties to the transaction and selecting technical Consultants for the verification of the Green Bond, was launched in 2018, to create awareness and drive education required to integrate the principles of green financing into the Nigerian DCM, as a partnership between FMDQ Group, CBI and FSD Africa.
The Chief Executive Officer, FMDQ Group, Mr. Bola Onadele. Koko stated that
âFMDQ is proud to haveÂ supported the NSP-SPV PowerCorp PLC Series 2 Green Bond through the Nigerian Green Bond MarketÂ Development Programme. As the local partner to the Programme, FMDQ provided support by selectingÂ Consultants for the verification and credit rating assessment of the Green Bond, which was executed withinÂ a remarkable timeline of estimated two (2) weeks.
This transaction further proves that the ProgrammeâsÂ efforts toward developing a vibrant green bond market are gaining traction as more corporates and subnationalÂ are beginning to explore green debt financing opportunities to raise capital towards pipelines ofÂ eligible projects. Once again, we congratulate the Board and Management of North-South Power andÂ reiterate our commitment to work with our stakeholders to develop the Nigerian green bond marketâ.Â
Furthermore, one of the implementing partners to the Programme, the Director, Capital Markets, FSDÂ Africa, Dr. Evans Osano, commented that âFSD Africa is proud to have worked with North-South Power onÂ this green bond issuance in Nigeria. The Climate Bond Certification implies that North-South PowerÂ underlying assets have met rigorous scientific criteria in line with the Paris agreementâ.Â
FMDQ Exchange, being an Exchange with a passionÂ for sustainable development and green financing inÂ Nigeria, has again proven its unflinching commitment in this regard by providing due diligence and availingÂ its credible and efficient platform for the listing and trading of the NSP-SPV PowerCorp PLC Green Bond.
TheÂ Exchange will remain unyielding in its support for the development of the Nigerian DCM through its highlyÂ efficient platform for the registration, listing, quotation, and trading of securities, providing access to capitalÂ for infrastructural and sustainable development.Â
FMDQ Group is Africaâs first vertically integrated financial market infrastructure group, strategicallyÂ positioned to provide registration, listing & quotation services, integrated trading, clearing & centralÂ counterparty, settlement, risk management for financial market transactions; and depository of securities;Â as well as data and information services, across the debt capital, foreign exchange, derivatives and equityÂ markets, through its wholly-owned subsidiaries â FMDQ Securities Exchange Limited, FMDQ Clear Limited,Â FMDQ Depository Limited, FMDQ Private Markets Limited and iQx Consult Limited â towards transformingÂ the Nigerian financial markets to become âGOLDâ (Globally Competitive, Operationally Excellent, Liquid andÂ Diverse) in alignment with its global counterparts.