LAPO Microfinance Bank Limited has raised N6.2 billion capital through Series II Senior Unsecured Bonds issuance. The bond issuance, which was oversubscribed by N200 million, an unprecedented feat in the sub-sector, in spite of market uncertainties in the local and global economies.
In a statement, LAPO MfB said the outcome of the bond issuance is a demonstration of confidence by investors given the strong corporate governance and fundamentals of the Microfinance Bank.
The Series II Senior Unsecured Bonds was successfully listed on the FMDQ OTC at 13 per cent fixed rate.
Managing Director, LAPO Microfinance Bank Limited, Cynthia Ikponmwosa, reiterated that, “LAPO Microfinance Bank Limited remains committed to its goal of economic empowerment of low-income households through access to finance. This additional capital will be deployed to enhance our capacity to meet the needs of micro and small enterprises, especially actors in the rural economy”.
“The success of this journey is largely due to the support of African Local Currency Bond (ALCB) Fund (two-time anchor investor) and other parties to the Issue; FBN Quest Merchant Bank and Coronation Merchant Bank who served as Lead and Joint Issuing House/Book Runner respectively,” she said.
“LAPO Microfinance Bank Limited is already standing by owners of micro and small enterprises who are determined to overcome the set-back of the COVID-19 pandemic. In the months of January to July the Microfinance bank delivered N59.4 billion to micro and small enterprises”.