The Federal Government has concluded plans to raise fresh N65bn through bonds with maturities of three, 10 and 20 years, the Debt Management Office has said.
According to a statement by debt office , it expects to raise N10bn through the 13.05 per cent FGN August 2016 (3-year bond), N30bn through the 14.20 per cent FGN March 2024 (10-year bond), and N25bn through the 12.1493 per cent FGN July 2034 (20-year bond).
The Central Bank of Nigeria is authorised to receive applications for the bonds, which would be auctioned on November 12, 2014 and settled on November 14, according to the DMO.
All the bonds are re-openings of previously issued debt notes.
“For re-openings of previously issued bonds, where coupon is already set, successful bidders will pay a price corresponding to the yield-to-maturity bid that clears the volume being auctioned, plus any accrued interest on the instrument,” the offer document said.
The three-year bond has a maturity period of one year and 10 months, the 10- year bond has a maturity period of nine years and five months, while the 20-year bond has a maturity of 19 years nine months.
The DMO reserves the right to alter the amount allotted in response to market conditions.
It could be recalled that debt office had last month issued re-opening bonds in a bid to raise N73.6bn. It has released the auction result for the reopening of the 13.05 per.
