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Transcorp Hotels Plc Lists N10b Bond On The NSE And FMDQ


l-r Omoniyi Fagbemi, Benjamin Dikki, Non-Executive Directors of Transcorp Hotels Plc, Oscar Onyema,  CEO, Nigerian Stock Exchange, Valentine Ozigbo, MD/CEO and Emmanuel N.Nnorom, Non–Executive Director, both of Transcorp Hotels Plc during the listing of of the company’s N10bn Series 1 bond at the Nigerian Stock Exchange, today.


Transcorp Hotels Plc – the hospitality subsidiary of Transnational Corporation of Nigeria Plc (Transcorp Plc) – today announced the listing of its Series 1 N10billion naira bond on the Nigerian Stock Exchange (NSE) and FMDQ OTC Securities Exchange. The company successfully closed its Series 1 & 2 bonds at the last quarter of 2015 and has raised a total of N19.758billion. Series 1 which is now listed, is a 7-year bond issued at 16.00% fixed rate and maturing in 2022.

With this momentous milestone, the company’s bonds are now available at the bond markets and, the investing public can trade and derive value from their investments. Such a major accomplishment reiterates the company’s resolve to continuously deliver value to all its stakeholders.

During the event at the NSE, the MD/CEO of Transcorp Hotels Plc, Valentine Ozigbo, expressed his excitement over the successful completion of the company’s Series 1 & 2 bonds. According to him, Series 1 was oversubscribed by 30 % while Series 2 was 98% subscribed a testimony of undeniable investors’ confidence to the achievements and leadership of the company. “By successfully raising these funds, we now have sufficient funding for our immediate priority projects especially the upgrade and expansion of the multi –award winning and iconic Transcorp Hilton Abuja”, Mr. Ozigbo said.

At the meeting between the Management of the Nigerian Stock Exchange (NSE), and the Board and Transcorp Hotels Plc, the Executive Director, Capital Markets, NSE, Mr. Haruna Jalo-Waziri stated: “The NSE is committed to providing a reliable and efficient capital market for companies and governments to raise funds for economic expansion. In this challenging time, our market is robust enough to cater to capital needs that traditional lenders cannot handle. The listing of the Transcorp Hotels Plc Series 1 bond on the Exchange is a remarkable achievement as this will further develop and deepen the domestic debt market. The NSE will continue to provide the necessary platform for the bonds to thrive. From today, companies and individuals wishing to trade on Transcorp Hotels Plc bonds on the stock exchange can now do so”.

Speaking separately at the FMDQ Securities Exchange, the second exchange where the bond was listed today, Mr. Valentine Ozigbo during his special address said: “We are very delighted to have successfully closed our Series 1 & 2 Bonds, where we raised ₦19.76bn in the last quarter of 2015; Series 1 (₦10.00bn) of which is being listed on FMDQ today. This will no doubt ensure a more efficient capital mix and access to a more diversified funding source, given that we had operated with zero interest bearing debt before now. By this listing, we have kept our promise to deliver value to all stakeholders and we will continue to do so. Beyond providing the funding we need for the upgrade of the Transcorp Hilton Hotel Abuja and other projects , Transcorp Hotels Plc Bonds equally give an opportunity for the investing public to be part of our success story, as well as an avenue for wealth creation”.

The MD/CEO of the FMDQ, Mr. Bola Onadele Koko remarked: ‘FMDQ remains steadfast in its commitment to facilitate growth and development in the Nigerian financial market, with specific focus on the debt capital market, and the Nigerian economy at large, and has actively commenced the year on initiatives being developed to address this growth and development. The decision by the Management of Transcorp Hotels PLC to list its ₦10.00bn Bond on FMDQ is one that will under no circumstance, be regretted. The Nigerian debt capital market continues to make essential strides towards its development and today’s listing on FMDQ marks another milestone in this certain development’.

During her remarks, Oluwatoyin Sanni, the Group CEO of United Capital Plc, sponsor of the Bond on FMDQ, stated: ‘We are delighted to have played a leading role in the successful execution of the Transcorp Hotels Series I Bond Issue. Coming from a successful 2015, United Capital remains committed to making significant contributions to the success of our esteemed clients. This transaction represents one of the ways we support leading businesses through our expertise in capital raising. We will continue to support Nigerian governments and businesses with superior Advisory, Capital Raising and Trust services. This is a true testament to our industry leadership and expertise’.

Transcorp Hotels Plc announced a successful successful naira bond market transaction of N10 billion Series 1 in November 2015 and another N9.75bn Series 2 in December 2015 with United Capital, FSDH Merchant Bank and Stanbic IBTC acting as issuing houses. The company is embarking on a full renovation of the historic Transcorp Hilton Abuja and its 670 rooms and on-site facilities and development of Transcorp Hilton projects in Lagos and Port Harcourt. The proceeds of the bonds will finance this upgrade as well as other projects

Transcorp Hotels Plc is the hospitality subsidiary of Transnational Corporation of Nigeria Plc (“Company”). The Company owns and operates Transcorp Hilton Abuja, which provides luxury accommodation, world-class cuisine, conferencing and leisure facilities to business travellers and tourists from all over the world. The Company also holds 100 per cent interest in Transcorp Hotels Calabar Limited, which owns and operates the Transcorp Hotel in Calabar. For more information please visit our website www.transcorphotelsplc.com and www.abuja.hilton.com

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