According to Funso Akere, Chief Executive of Stanbic IBTC Capital Limited, Sundry Foods Limited’s N10 billion Commercial Papers (CP) would aid the company in diversifying its finance sources and facilitating corporate expansion.
Speaking at the CP Programme’s offering at the FMDQ Securities Exchange Limited (FMDQ) platform, Akere said the issuance would also benefit the company in optimizing its funding costs by enabling access to short-term finance from institutional investors at reasonably competitive interest rates.
“Stanbic IBTC Capital is pleased to have served as the co-arranger to the formation of Sundry Foods Limited’s $10.00 billion CP Issuance Programme,” he stated.
“The CP Programme will enable Sundry Foods Limited to issue commercial papers to diversify its funding sources in order to facilitate business growth and optimise its funding costs by accessing short-term funding at relatively competitive interest rates from institutional investors”.
One of Nigeria’s top providers of food services, Sundry Foods Limited operates in the fast service restaurant, bakery, and catering industries. The business operates more than 130 locations in Nigeria under a number of different franchises, including Kilimanjaro, Pizza Jungle, Nibbles Creamery, Nibbles Bakery, Kiligrill, and Sundry Foods Services.
The Issuer will be strategically positioned to raise short-term financing from the Nigerian debt markets through CP issuances at specific points during the CP Programme validity that it deems strategically viable, as long as it stays within the CP Programme limit, thanks to the successful registration of this CP programme, which is sponsored by CardinalStone Partners Limited (the Lead Sponsor), SCM Capital Limited, and Stanbic IBTC Capital Limited, all Registration Member (Quotations) of the Exchange.
The company’s managing director, Ebele Enunwa, also commented on the successful CP Program registration, saying: “We remain committed to maximizing Sundry Foods Limited’s potential and providing exceptional value to all of our stakeholders.
This is demonstrated by the growth we have recently enjoyed, which was brought about by visionary leadership and a clear growth strategy. We are eager to interact with market participants as part of this $10.00 billion CP Program.
Additionally, CardinalStone Partners Limited’s managing director, Mr. Michael Nzewi, said, “CardinalStone Partners Limited is thrilled to have led the registration of the inaugural CP Programme for Sundry Foods Limited. We are confident that by giving Sundry Foods Limited the chance to interact with a larger pool of market participants, our assistance in helping the company raise funds will enable it to realize its strategic expansion objectives.
The registration of this CP Program on the Exchange’s platform, according to FMDQ, validates the Exchange’s deliberate efforts to promote corporate objectives and expand the Nigerian debt markets.