CardinalStone Leads Successful Close of N728.97 Billion Series 2 Power Sector Bond

CardinalStone Partners Limited, a prominent Nigerian investment banking firm, successfully closed a N728.97 billion Series 2 Power Sector Bond on which it acted as Lead Financial Adviser and Lead Issuing House. This significant transaction underscores Nigeria's financial market capabilities and the power sector's prospects, bolstering CardinalStone's standing as a trusted partner for high-stakes, complex transactions that align with strategic economic goals.

As part of the Federal Government's initiative to tackle legacy liabilities in the power sector and enhance liquidity throughout the electricity industry, the Series 2 Bond marks the culmination of the programme's first phase, which reached a total of N1.23 trillion. The issuance included an oversubscribed N402 billion bond to domestic investors, comprising banks, pension funds, the Sovereign Wealth Fund, asset managers, high-net-worth individuals, and retail investors, along with N326.97 billion directed to participating Power Generation Companies (GenCos).

Structured as an amortizing instrument with a clearing price of 18.0%, the Series 2 Bond mirrored the first series, reflecting robust market confidence and the expanding depth and capacity of Nigeria's domestic capital market to fund long-term projects. Issued through a special purpose vehicle and fully guaranteed by the Federal Government, these seven-year bonds are designed to streamline payments to various Generation Companies and their suppliers, fostering financial stability across the power and gas sectors.

CardinalStone played a crucial role in structuring and managing the transaction, coordinating with essential stakeholders, investors, and professional advisers. In a statement, Michael Nzewi, Group Managing Director of CardinalStone Partners Limited, expressed pride in contributing to the transaction's success, citing the firm's deep market expertise, strong relationships, and capacity to manage complex transactions at scale.

This achievement highlights CardinalStone's commitment to facilitating capital mobilisation, delivering innovative financial solutions, and generating long-term value for clients and the Nigerian economy. The successful close of the Series 2 Bond enhances CardinalStone's reputation for executing landmark transactions and solidifies its position as a leading force in Africa's financial landscape.

CardinalStone, Nigeria's premier independent investment and multi-asset management firm, has advised over ₦7 trillion in capital markets and M&A transactions. With consecutive years as the top securities firm by transaction value on the Nigerian Exchange (2022-2025), the firm has earned numerous industry accolades, including Euromoney's Awards for Excellence (2026) and multiple DealMakers Africa Awards (2026) for excellence in equity advisory and capital markets execution.