In a recent mail to investors, CardinalStone announced the upcoming issuance of a seven-year bond under the FGN-backed Power Sector Multi-Instrument Issuance Programme. The bond, carrying a coupon range of 16.25% to 16.75%, aims to support ongoing electricity market reforms, with proceeds directed at strengthening the power sector. The bond will be fully sovereign-guaranteed and listed on both the Nigerian Exchange Limited (NGX) and FMDQ Securities Exchange.
The financing instrument offers comfort akin to traditional FGN bonds and benefits from a waiver by the National Pension Commission (PenCom). While awaiting recognition by the Central Bank of Nigeria (CBN) for repo and collateral purposes, feedback on this matter is expected soon. The bond issuance is expected to attract strong interest from banks, pension fund administrators, asset managers, and insurance firms.
A virtual investor forum, led by the Presidential Power Sector Debt Reduction Committee, will be held on December 10, 2025, to discuss the bond issuance. The event aims to clarify ongoing power sector reforms and encourage robust market participation in the N1.23tn bond. Registration for the session is mandatory.
