VFD Group Plc has successfully raised N27.2bn through its Series 1 Commercial Paper, following strong investor demand that resulted in a 100 per cent oversubscription of the initial offer.
According to a statement from the listed company on Monday, it was indicated that the issuance was under its N50bn commercial paper programme.
The Series 1 issuance was originally launched with a target raise of up to N15bn. However, driven by robust participation from institutional and eligible investors, the offer was oversubscribed by approximately N15bn, prompting the company to upsize the issuance to N27.2bn.
The CP was issued across two tenors, 270 days and 364 days, attracting a broad base of qualified institutional investors and high-net-worth participants within Nigeria’s domestic debt market.
The significant oversubscription underscores sustained investor confidence in VFD Group’s diversified business model, disciplined capital management framework, and long-term growth trajectory.
Commenting on the successful issuance, the Executive Director of Finance at VFD Group Plc, Folajimi Adeleye, stated, “The strong investor demand and subsequent upsizing of the issuance to N27.2bn reflect the resilience of our credit profile and the market’s confidence in our strategic direction. We remain committed to prudent capital management, funding diversification, and delivering sustainable value to our shareholders and stakeholders.”
Proceeds from the issuance will be deployed toward short-term working capital requirements and general corporate purposes, in line with the Group’s structured liquidity management strategy.
By leveraging its established CP Programme, VFD said that it continues to optimise its cost of capital while maintaining flexibility within an evolving macroeconomic environment.
“The successful raise further reinforces the group’s active engagement in Nigeria’s capital markets and its ability to access competitive funding through diversified channels,” the company added.
VFD Group is an African investment company with a portfolio spanning multiple sectors.
