AB Microfinance Bank Nigeria Limited is aiming to secure up to ₦3 billion through its Series 4 Commercial Paper under its ₦9 billion Commercial Paper Issuance Program. The offer commenced on August 8 and will end on August 14, 2024.
This commercial paper offers Nigeria’s investment community a chance to invest in one of the nation’s top microfinance banks, which is owned by some of the largest development financial institutions globally.
The raised funds will be allocated toward the bank’s working capital. AB Microfinance Bank Nigeria Limited holds an ‘A2’ rating from DataPro and a ‘Bbb+’ rating from Agusto. Afrinvest Capital Limited is acting as the arranger and dealer for the commercial paper. The notes have a tenor of 270 days, with a discount rate set at 24.5578 percent and a yield of 30 percent.
Incorporated in Nigeria on May 15, 2008, under the Companies and Allied Matters Act, AB Microfinance Bank is one of the nine national microfinance banks licensed by the Central Bank of Nigeria (CBN).
The bank is owned by Access Microfinance Holding Germany, which in turn is owned by prominent international financial institutions, including the International Finance Corporation (IFC), Triodos Investment Management, British International Investment, the European Investment Bank, KfW-German Development Bank, and Omidyar-Tufts Active Citizenship Trust. Other direct shareholders include the African Development Bank and KFW-German Development Bank, all of which are rated “AAA.”
AB Microfinance Bank offers credit facilities to both individual and corporate clients for various purposes, including business expansion, home improvement, education, and consumption. The bank is committed to providing accessible loans to micro, small, and medium-sized enterprises and offering secure savings opportunities for its customers, with a focus on improving the financial wellbeing of its clients.
