Sycamore Enters Commercial Paper Market With N20bn Programme, Earns Investment-Grade Rating

Fadekemi Ajakaiye

Sycamore Integrated Solutions Limited has launched a N20 billion Commercial Paper Programme, opening its first series to investors as it enters Nigeria’s capital markets with an investment-grade credit rating.

The Series 1 issuance is structured across two tranches: a 180-day instrument yielding 24 percent and a 270-day instrument yielding 25 percent. Subscriptions opened on March 9 and will close on March 20.

Credit Rating Agency DataPro Limited assigned the programme a BBB+ long-term rating and A2 short-term rating, reflecting its assessment of the company’s capacity to meet its financial obligations. The rating places Sycamore among a small group of Nigerian fintech companies to have secured credit ratings for capital markets instruments.

Sycamore’s market entry comes amid rapid growth in short-term debt issuance in Nigeria. Commercial paper volumes reached N143.19 billion in February 2026, a 165 percent increase from N53.96 billion in January, according to the WealthBridge Market Intelligence Credit Market Report. Large corporations, including Coleman Industries, UAC of Nigeria, and JohnVents Industries, led activity during the month.

The programme introduces a different profile of issuer into that market. Sycamore holds a Securities and Exchange Commission (SEC) investment platform licence, which authorises it to offer commercial papers, fixed-yield products, dollar-denominated investments, and equities to retail investors through its mobile application.

That licence makes the instrument available directly to individual investors on the Sycamore app, with a minimum investment of N100,000, rather than exclusively through institutional channels.

BAS Capital Limited is acting as lead arranger and issuing house, with AIICO Capital, Norrenberger Advisory Partners, and Pathway Advisors serving as joint placing agents. FSDH Merchant Bank is the collecting and paying agent. Coronation Trustees and Plethoria Trustees act as trustees, with Africa Law Practice as solicitors.

The Managing Director of BAS Capital, Yinka Adetuberu, said the offer has drawn strong early interest from investors.
“The opening of the Sycamore Commercial Paper offer demonstrates the continued depth and resilience of Nigeria’s debt capital markets. Since launch, we have seen encouraging interest from investors seeking quality short-term instruments with competitive yields,” Adetuberu said.

Gbenga Magbagbeola, Managing Director of Sycamore Integrated Solutions, described the issuance as a turning point in the company’s approach to funding.

“This Commercial Paper issuance marks an important step in strengthening Sycamore’s funding framework. Accessing the capital markets allows us to diversify our funding sources while positioning the company to scale our lending operations more efficiently,” Magbagbeola said.

The company’s audited financials show a growth trajectory that underpins the credit assessment. Interest income grew from N115 million in 2020 to N6 billion in 2025. Profit after tax rose from N1.3 million to over N1 billion over the same period. The company now serves more than 400,000 users and manages over N20 billion in assets.

Sycamore operates across three verticals: a fintech lending platform, an SEC-licensed asset management firm led by Magbagbeola, and a microfinance bank. The group is registered with the Central Bank of Nigeria, the Securities and Exchange Commission, and the Federal Competition and Consumer Protection Commission.