AG Mortgage Bank’s N3.97bn commercial paper fully subscribed

AG Mortgage Bank Plc's N3.97 billion Series 2 and Series 3 Commercial Paper issuance has been fully subscribed by investors, bolstering the lender's liquidity and providing additional funding for mortgage financing operations. The 100% subscription rate demonstrates strong investor interest in the bank's short-term debt instruments, as well as confidence in its financial position, governance, and growth strategy.

The Series 2 and Series 3 commercial papers, issued under the bank's N5 billion Commercial Paper Programme, raised N3.97 billion, representing a significant portion of the program's approved limit. The issuance, which opened on June 10 and closed on June 18, included tenors of 270 days and 364 days, with implied yields ranging from 22.5% to 24%.

Lead Arranger FSDH Capital Limited, along with Joint Arrangers Pathway Advisors Limited, AIICO Capital Limited, and ARM Capital Limited, facilitated the issuance. The net proceeds will be used to meet the bank's short-term working capital and funding needs, thereby strengthening its capacity to expand mortgage financing and support its real estate pipeline.

AG Mortgage Bank's Managing Director and CEO, Mr. Ngozi Anyogu, noted that the full subscription reflects investors' confidence in the institution, its governance standards, and its long-term vision for increasing access to housing finance. The successful issuance also reinforces the bank's position within Nigeria's mortgage and capital markets.