Sefton Fross has advised as Solicitor to the Trustees of the Nova Merchant Bank Limited N50,000,000,000 (Fifty Billion Naira) Bond Issuance Programme and issuance of the N10,000,000,000 (Ten Billion Naira) Series 1 12% Fixed Rate Subordinated Unsecured Bonds due 2027.
Nova Merchant Bank Limited is a licensed, investment grade rated merchant bank in Nigeria, which offers a portfolio of products and services across corporate and investment banking, securities trading, and asset management to a clientele comprising top-tier corporates and high net worth individuals. The Programme was established and bonds issued by Novambl Investments SPV Plc, a special purpose vehicle set up for that purpose.
The Transaction represents Nova’s debut into the debt capital markets and attracted a high level of subscription by Investors with an oversubscription of 300%.
The successful issuance of the Series 1 Bonds will see the proceeds being used to invest in long-term risk assets and serve as Tier-II capital for the Bank in line with the Central Bank of Nigeria’s Prudential Guidelines.
Sefton Fross acted as Solicitors to Stanbic IBTC Trustees Limited, the Bond Trustee and Leadway Capital & Trusts Limited, the Share Trustee.