Bonds & Fixed Income | |
Bonds & Fixed Income | |
1310 VIEWS | |
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Tuesday,
April 17, 2018/ 05.39
PM /
DMO
The Central Bank of Nigeria on the authority of
The Debt Management Office on behalf of the Federal Government Of Nigeria
Offers for Subscription by Auction and is authorized to receive applications
for
N30,000,000,000 – FGN APR 2023 (5-Year New Issue)*
N30,000,000,000 – 13.53% FGN MAR 2025 (7-Year
Re-opening)*
N30,000,000,000 – 13.98% FGN FEB 2028 (10-Year
Re-opening)*
Auction Date: April 25,
2018
Settlement Date: April 27,
2018
SUMMARY OF THE OFFER
ISSUER:
Federal Government of Nigeria (“FGN”)
UNITS OF SALE:
N1,000 per unit subject to a minimum subscription
of N10,000 and in multiples of N1,000 thereafter
INTEREST RATE:
For Re-openings of previously issued bonds,
(where the coupon is already set), successful bidders will pay a price
corresponding to the yield-to-maturity bid that clears the volume being
auctioned, plus accrued interest from the original issue date.
INTEREST PAYMENT:
Payable semi-annually
REDEMPTION:
Bullet repayment on the maturity date
STATUS:
1. Qualifies as securities in which trustees can
invest under the Trustee Investment Act
2. Qualifies as Government securities within the
meaning of Company Income Tax Act (“CITA”) and Personal Income Tax Act (“PITA”)
for Tax Exemption for Pension Funds amongst other investors
3. Listed on the Nigerian Stock Exchange
4. All FGN Bonds qualify as liquid assets for
liquidity ratio calculation for banks
SECURITY:
FGN Bonds are backed by the full faith and credit
of the Federal Government of Nigeria and are charged upon the general assets of
Nigeria
HOW TO INVEST
Kindly download, print and complete the tender form. The duly completed form should be scanned and sent to: ievbosomon@dunnlorenmerrifield.com or bbhadmus@dunnlorenmerrifield.com
* (1) The DMO
reserves the right to alter the amount allotted in response to market
conditions
* (2) Retail Investors are encouraged to participate