FCMB Capital Markets Limited served as joint issuing house and bookrunner for the Bank of Industry’s ₦274.19 billion Series 1 Development Bond, among the biggest sub-sovereign offerings completed through Nigeria’s domestic capital market.
Quick facts
- The five-year instrument carries a fixed coupon of 17.60% and matures in 2031.
- BOI Financing SPV Plc issued the bond under the Bank of Industry’s US$1 billion Multi-Currency Instruments Programme.
- The deal was launched at ₦250 billion before strong institutional demand lifted the final amount to ₦274.19 billion.
- BOI used its green shoe provision to accept additional subscriptions.
Demand exceeded the initial target, prompting the issuer to activate the option and expand the transaction. The outcome underscores the ability of Nigeria’s local debt market to absorb large-scale development financing.
The transaction was marked at a signing ceremony attended by Ikechukwu Omeruah, managing director of FCMB Capital Markets, and Ayo Bajomo, divisional head of corporate finance and advisory services at BOI.
FCMB Capital Markets supported the offering through its work on the distribution plan, book-building process and investor outreach. Buyers included pension fund administrators, commercial banks, development finance institutions, companies and other institutional investors.
Omeruah said the bond demonstrated the strength of Nigeria’s domestic debt market and its capacity to channel substantial funding into development. He said FCMB’s access to a wide institutional investor base helped BOI raise resources that can expand lending to businesses and projects in priority areas.
He added that the strong subscription response showed investor confidence in BOI and rising appetite for dependable instruments that direct institutional funds toward national economic objectives. Omeruah also thanked BOI’s board and management for selecting FCMB Capital Markets as a partner for the Bank’s first transaction in Nigeria’s domestic debt market.
Proceeds are expected to help increase productive capacity, create jobs, deepen local value chains and support broader economic diversification. The deal also highlights FCMB Capital Markets’ work with public-sector bodies, financial institutions and corporates seeking to structure and raise funds through Nigeria’s capital markets.
FCMB Capital Markets is the investment-banking arm of FCMB Group Plc and is registered with the Securities and Exchange Commission as an issuing house and financial adviser. Its services cover debt and equity fundraising, financial advice, project and structured finance, mergers and acquisitions, and corporate restructuring.
