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Thursday, January 28, 2021 / 08:40 AM / By FMDQ / Header Image
Credit: Nigeria Mortgage Refinance Company
FMDQ Securities Exchange Limited ("FMDQ Exchange" or "the Exchange"),
following the due diligence of its Board Listings and Markets Committee has
approved the Listing of the Nigerian Mortgage Refinance Company PLC ("NMRC")
Series 3 N10.00 billion Fixed Rate Bond under its N440.00 billion Bond Issuance Programme on its platform. The listing joins a host of other corporate securities
issued on the FMDQ Exchange Platform to kick off the year 2021 in addition to
Total Nigeria PLC, Valency Agro Nig. Ltd., Mixta Real Estate PLC and Flour
Mills of Nigeria PLC.
In view of the sustained disruptions occasioned by the impact of the
COVID-19 pandemic to businesses and economies alike, the Nigerian capital
market has continued to provide the much-needed succor for corporate entities
looking to raise funds to meet shortfalls in their working capital needs as
well as capital expenditures. The Nigerian real estate sector has evidently
been one of the worst-hit sectors with financing remaining a core challenge for
property developers and prospective homeowners. The NMRC is a private
sector-driven mortgage refinancing company with the purpose of promoting home
ownership for Nigerians while deepening the primary and secondary mortgage
markets by raising long-term funds from the capital market, to enhance access
to affordable housing finance in Nigeria.
In a quote by the Managing Director of NMRC, Mr. Kehinde Ogundimu, he
mentioned that "the proceeds of the issue would be used to refinance existing
and conforming mortgage loans, he added that the issuance also demonstrates
NMRC's commitment to the provision of affordable liquidity to the mortgage
market by attracting long-term funding into the housing finance industry from
the capital markets. Mr. Ogundimu further stated that the prevailing interest
rate regime will reduce the rate at which the primary mortgage institutions
onlend to their customers and in the long-term, substantially drive reduction
in mortgage interest rates as well as translate to cost reductions in housing construction
finance going forward". In an additional quote by the sponsors of the
transaction on the Exchange, DLM Capital Group said "We
are proud to have acted as Issuing House and Financial Advisors on the NMRC
Series 3 Bond issuance. The success of the deal indicates that investors have
an appetite for long tenured assets and highlights their confidence in NMRC's
operating model. We expect the impact on the mortgage industry to be far
reaching, making home-ownership much more accessible to the average individual".
These recent admissions to FMDQ Exchange's platform are reflective of
the potential of the Nigerian DCM and the commendable level of confidence
demonstrated by both issuers and investors in the market. They also validate
the efficient processes and integrated systems through which FMDQ Holdings PLC
(FMDQ Group or FMDQ), through its wholly owned subsidiaries - FMDQ Exchange,
FMDQ Clear Limited, FMDQ Depository Limited and FMDQ Private Markets Limited - has sustained its uninterrupted service delivery to the market and its diverse
stakeholders during these uncertain times and beyond. As is the corporate
tradition for FMDQ Exchange, these securities shall be availed the benefits of
the value-driven listings and quotations service on the Exchange, including
global visibility through its website and systems, liquidity credible price
formation and continuous information disclosure to protect investor interest,
amongst others. In keeping with its commitment to the development of the
market, FMDQ Exchange shall sustain its efforts in supporting issuers with
tailored financing options to enable them achieve their strategic objectives,
deepen and effectively position the Nigerian DCM for growth, in support of the
realisation of a globally competitive and vibrant economy.
FMDQ Group is Africa's first vertically integrated
financial market infrastructure (FMI) group providing a one-stop platform for
the seamless and cost-efficient execution, risk management, clearing,
settlement and depository services, as well as data and information services
across the debt capital, foreign exchange and derivatives markets in Nigeria
Related News on NMRC
1. NMRC Issues N10bn Bond to
Boost Industry Liquidity
3. NMRC: Facts and obtainable
Benefits you need to Know!!!
4. Nigeria Mortgage Refinance
Company Plc shares approved for trading on NASD OTC
5. FMDQ Hosts Pioneer Listing of
the Nigeria Mortgage Refinance Company PLC Bond
6. An Overview of The Nigeria
Mortgage Refinance Company (NMRC) - CBN Perspective
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