The London Stock Exchange has welcomed Nigeria’s first Diaspora bond to start trading on the main market.
The LSE, in an emailed statement on Thursday, said the proceeds from the five-year, 5.625 per cent bond would be used to fund infrastructure projects in the country.
It described the bond as the first from an African country that is registered with both the United Kingdom Listing Authority and the United States Securities and Exchange Commission and targeted at retail investors.
The bourse said interest in the bond was high from retail investors around the world and was 130 per cent subscribed, raising a total of $300m.
It noted that the bond followed the successful raising of $1.5bn through Nigeria’s Eurobond earlier this year.
The Head of Middle East, Africa and South Asia, International Markets Unit, LSE, Ibukun Adebayo, was quoted as saying the successful listing reinforced the LSE’s position as a strong partner for Nigeria and as a leading global venue for raising debt finance.
The country first unveiled in 2013 plans to sell Diaspora bonds worth between $100m to $300m from Nigerians living abroad. But the government at the time did not appoint a bookrunner until an election brought the opposition into office.