Pivot raises N100.08bn from oversubscribed Commercial Paper issuance

The rise of commercial paper (CP) as a financing instrument in Nigeria has been significant, with issuances reaching approximately N1.3 trillion in 2026. Historically, companies relied on bank overdrafts and short-term loans, but as businesses grow, they need access to a broader range of funding options. CP is a short-term, unsecured debt instrument with maturities typically below 270 days.

The Nigerian Exchange Limited (NGX) has recognized this opportunity through its Commercial Paper Listing Framework, introduced in December 2025. This framework brings commercial paper onto an organised exchange, offering greater transparency, stronger issuer visibility, broader investor access, and potential for secondary-market liquidity.

Exchange listing benefits issuers by creating visibility and building a market track record, while investors gain greater visibility into available instruments and standardised information. For the wider market, greater participation on an exchange supports price discovery, improves transparency, and enables deeper secondary-market activity.

Commercial paper provides companies with a flexible and efficient avenue to access short-term capital directly from investors, aligning funding more closely with the shorter cycles of their businesses. NGX's Commercial Paper Listing Framework has already listed commercial papers from companies like Dangote Cement Plc, NGN Gram Limited, Coleman Technical Industries Limited, and MeCure Industries Plc, demonstrating growing demand for the product across different sectors.

As more issuers and investors participate in the organised market, a deeper and more efficient market for short-term corporate funding can be developed.