Stanbic IBTC Bank Plc has started selling series 3 commercial paper as part of its N100 billion multicurrency commercial paper program.
In one week, the financial institution plans to sell N20 billion in corporate debt instruments to interested investors.
According to details obtained by Business Post, subscription for the commercial paper began on Thursday, January 20, 2022, and will end on Thursday, January 27, 2022.
The tenor of the commercial paper is 269 days, maturing on Thursday, October 27, 2022, with a discount rate of 9.00% and an implied yield of 9.64%, according to information gathered.
The minimum subscription for the Stanbic IBTC series 3 commercial paper is N5 million, with subsequent additions of N1 million.
The net proceeds of the paper, according to the program memorandum, would be used solely to support the company’s short-term funding needs as part of its asset and liability management strategy for its banking operations.
In terms of maturity payments, the issuer stated that only noteholders named in the register at the close of business on the relevant last day “shall be entitled to payment of amounts due and payable in respect of notes.”
Stanbic IBTC Bank PLC was formed in September 2007 by the merger of Stanbic Bank Nigeria Limited and IBTC Chartered Bank Plc.
IBTC Chartered Bank Plc was formed through the merger of three institutions: Investment Banking &Trust Company Plc (IBTC Bank), Chartered Bank Plc, and Regent Bank Plc.
Stanbic IBTC Bank provides a wide range of commercial banking products to its clients through its 180 branches spread across every state in Nigeria, as well as through a variety of self-service channels powered by sophisticated technology to make banking more convenient for clients.
The lender is also a key player in financial inclusion, with plans to bring banking to the doorsteps of its clients in various personal and business categories who want specialized banking services.