Paras Energy Funding SPV PLC has listed a N15bn five-year 18.00 per cent Series 1 Fixed Rate Bond on the FMDQ Securities Exchange, marking a significant milestone in the company’s drive to raise long-term capital for power infrastructure expansion and strengthen electricity supply in Nigeria.
The bond, issued under the company’s N25bn Bond Issuance Programme, was approved for listing by the Board Listings and Markets Committee of FMDQ Securities Exchange Limited, reinforcing the Exchange’s position as a key platform for mobilising long-term funding for critical sectors of the Nigerian economy.
According to FMDQ Exchange, the proceeds from the bond issuance will be deployed to finance Paras Energy’s power generation and infrastructure expansion projects, while also refinancing existing obligations to improve operational efficiency and enhance the reliability of electricity supply to the national grid and industrial customers.
The transaction was sponsored by Rand Merchant Bank Nigeria Limited, the Lead Sponsor, alongside FCMB Capital Markets Limited, both Registration Members (Listings) of the Exchange.
Paras Energy Funding SPV PLC was established as a special purpose vehicle to meet the capital market financing requirements of the Paras Energy Group, a privately owned independent power generation company that supplies electricity to Nigeria’s national grid as well as industrial off-takers.
Speaking on the listing, the Group Chief Operating Officer of FMDQ Group Plc, Tumi Sekoni, said the successful admission of the bond highlights the growing importance of Nigeria’s debt capital market in funding strategic investments in the country’s power sector.
She noted that sustainable financing remains critical to addressing Nigeria’s energy infrastructure deficit and supporting long-term economic growth.
“The listing of Paras Energy Funding SPV PLC’s N15 billion Series 1 Fixed Rate Bond on FMDQ Exchange reflects the important role the debt capital markets play in financing Nigeria’s power sector.
“As the country continues to prioritise reliable and sustainable energy infrastructure, FMDQ Exchange remains committed to connecting credible issuers like Paras Energy Funding with the investors needed to drive long-term growth through its trusted platform,” Sekoni said.
The listing adds to the growing number of corporate debt instruments on the FMDQ Exchange, underscoring increasing confidence among issuers in Nigeria’s domestic capital market as an efficient source of long-term financing.
Market analysts say the successful bond issuance is expected to support Paras Energy’s expansion strategy while contributing to efforts aimed at improving electricity generation capacity and infrastructure development, sectors widely regarded as critical to Nigeria’s industrialisation and economic transformation.
(The Whistler)
