Stanbic IBTC Leads Afreximbank’s N300bn Bond Issiuance Programme


Goddy Egene

Stanbic IBTC Capital Limited, a subsidiary of the Stanbic IBTC Holdings Plc has established a N300 billion Domestic Bond Programme for the African Export-Import Bank (Afreximbank). The signing ceremony, which  marked the official kick-off of the initiative was held in Lagos.

The establishment of the debt issuance programme in the Nigerian capital market by Afreximbank makes it the third supranational ever to join an elite group of Nigeria’s development partners, enabling the domestic capital market. It is vital to establish the bond programme in local currency, considering the strong liquidity and current low yields in the domestic market.

This initiative by Afreximbank aligns with global best practice in treasury management and innovation to stay abreast of evolving market conditions. It will aid in stimulating the expansion and development of Nigeria, through the intervention in various sectors of the Nigerian economy.

Afreximbank, a multi-product partner of Stanbic IBTC and the Standard Bank Group, is one of Africa’s largest Developmental Finance Institutions and a seasoned issuer in the international capital markets.

Stanbic IBTC Capital Limited remains fully committed to developing the Nigerian capital markets and has been at the forefront of driving financial innovation and advising clients on staying ahead of changing times.

The parent firm of Stanbic IBTC Capital Limited, Stanbic IBTC Holdings Plc recently recorded a profit after tax of N75.035 billion for the year  ended December 31, 2019, showing a marginal growth over the N754.44 billion posted in the 2018.

Profit before tax (PBT) rose from N88.15 billion for 2018 to N90.925 billion, just as PAT grew from N74.4 billion to N75.035 billion. The slower growth in PAT was  due to higher tax paid in 2019 that stood at N15.9 billion, as against N13.7 billion in 2018.

Meanwhile, trading at the stock market resumed for the week on bearish note as investors’ esntiments remained weak. The Nigerian Stock Exchange (NSE) All-Share Index fell 0.7 per cent to close at 27,570.58 following decline suffered by BUA Cement Plc, Guaranty Trust Bank Plc and Ecobank Transnational Incorporated among others. Market capitalisation shed N96.3 billion to close at N14.3 trillion. However, activity level improved as volume and value traded rose 1.6 per cent and 23.8 per cent to 134.6 million shares  and N1.6 billion respectively. The most active stocks by volume were Zenith Bank Plc (22.5 million shares), United Capital Plc (17.2 million shares) and GTBank (12.4 million shares)