Dangote Cement Plc has declared its intention to generate capital of up to N100 billion from the public through corporate bond.
Nigerian largest company by market value is undertaking the debt-raising action as the first phase of its Shelf Registration Programme through which it hopes to ultimately mobilise N300 billion, management said in March before obtaining approval from the Securities and Exchange Commission (SEC).
In a document titled “Building Prosperity in Africa,” released to journalists in Lagos on Sunday, the company said it plans to commit the proceeds of the bond to refinancing current short-term debt earlier used to fund its cement expansion projects, working capital and other business purposes.
Currently operating at an installed capacity of 45.6 metric tonnes per annum, Dangote Cement’s presence spans 10 countries on the continent, making it sub-Saharan Africa’s biggest cement maker.
It had in 2018 raised a total sum of N100 billion through its commercial paper programme and funds worth N200 billion by the same means in 2019.