MTN Applies For Fresh N200bn Bond To Fund Network Expansion

MTN Nigeria has applied to the Securities and Exchange Commission for approval to launch a second bond issuance programme.

The company is eying N200bn in the fresh bond issuance to help fund its capital expenditure.

MTN made the discloure on Tuesday in a statement posted on the Nigerian Exchange Limited.

The company said it “applied to the Securities and Exchange Commission in respect of the registration of a new N200bn Bond Issuance Programme (Second Bond Issuance Programme).”

Last year, the telecom form came into the bond market issuing N200bn bond in two tranches which was oversubscribed.

MTN said, “This second Bond Issuance Programme is a follow-on to the successful N200 billion debut Bond Issuance Programme in 2021 under which the company issued the N110 billion 13.00% 7-year series I bond due by 2028 and N90 billion 12.75% 10-year series II bonds due 2031.

” The proceeds of the bond issuance will be used for capital expenditure (network expansion), working capital management and general corporate purpose.”

MTN noted that it would decide on issuance under the second Bond Issuance Programme in due course subject to prevailing market conditions.