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Emzor Pharmaceuticals enters capital markets for the first time and lists N13.7 billion bonds on NGX

By on April 22, 2021 0

The wholly-owned indigenous pharmaceutical manufacturing group, Emzor Pharmaceutical Industries Limited, has listed its 5-year N13.7 billion Series 1 bonds exclusively on the “NGX” platform of the Nigerian Stock Exchange.

Information contained in a declaration published on NGX’s website revealed that the N13.7 billion Series 1 5-year unsecured senior fixed rate bond, due by 2026, under the 50-year debt issuance program. billion naira of the company, is the first public instrument listed by the Nigerian pharmaceutical group.

Why it matters

In line with the NGX group’s goal, Emzor capitalized on the robust size of the Nigerian capital market to close funding gaps and restructure its existing debt profile, through its $ 50 billion debt issuance program. nairas.

Details of the transaction revealed that Emzor was able to access domestic debt capital markets for the first time and raise 5 years of local currency funding using a corporate bond, with the issuance of its Series 1 of 13.73 billion naira at 5 years at 10%. Senior unsecured fixed rate bond.

The proceeds of the bond initiated by Emzor Pharma Funding SPV Plc, a special purpose vehicle set up to finance Emzor’s financing needs, will be used to finance the purchase of notes and other debt securities issued by Emzor, pursuant to the terms of the Master Ticket Purchase Agreement (the “MNPA”).

The 13.73 billion naira Series 1 unsecured bonds, granted with an “A-” credit rating by Global Credit Rating Co., were underwritten by 8.47% with the expected capital set at 15 billion naira.

What you should know

  • Emzor Pharmaceutical Industries Limited is a renowned manufacturer of quality pharmaceuticals and medical consumables. The company has expanded its product portfolio from four modest products in 1987 to over 120 different products in recent times.
  • The company offers a wide range of products in the analgesic, antimalarial, vitamin / hematinic / multivitamin, anti-helminthic, antibiotic and therapeutic categories.