FBNQuest Merchant Bank Leading the Way in Commercial Paper and Bond Issuances

FBNQuest Merchant Bank, the investment banking and asset management arm of FBN Holdings Plc., has disclosed its significant role in facilitating commercial paper issuances and bond issuance transactions that collectively garnered over N677 billion in 2023.

Commercial Papers (CP) serve as short-term debt instruments utilized by corporations to meet their working capital requirements. They have become a vital means of securing capital for corporate entities. FBNQuest Merchant Bank, renowned for its expertise in assisting both indigenous and multinational corporates access the Capital Markets to fulfill their funding objectives, has received accolades for its outstanding contributions to the industry, innovative solutions, and dedication to excellence. Noteworthy awards include the 2023 FMDQ Gold Awards for the highest CP value and the AIHN award for Best Commercial Paper House.

The bank played a pivotal role as an Arranger for Commercial Paper issuances for prominent issuers in the market, including MTN Nigeria Communications PLC, Nigerian Breweries, Flour Mills of Nigeria PLC, and Daraju Industries Limited. The bank's commendable performance in the debt capital market underscores its robust expertise, execution prowess, client loyalty, and capacity to provide inventive and tailored solutions to meet diverse financing needs.

Bonds, which represent long-term debt instruments issued by corporations and governments to raise funds for various purposes. In 2023, FBNQuest Merchant Bank acting as a joint Issuing House for entities such as the Lagos State Government and Flour Mills of Nigeria. These efforts contributed to raising a total of over N170 billion, positioning the bank among the top 5 bond issuers for the year.

Mr. Afolabi Olorode, Executive Director, Wholesale Banking of FBNQuest Merchant Bank, remarked, "We take pride in our accomplishments in the debt capital market. Leveraging our extensive market knowledge and distribution networks, we delivered value for our clients, guiding them through the business landscape. Additionally, we assisted our clients in capitalizing on the lower interest rates offered by commercial paper and bond instruments. Our commitment remains unwavering as we continue to support the growth and development of our clients and the Nigerian economy as a whole."