Lafarge Africa Plc redeems 5-Year fixed rate Series 2 bond worth N33.6 billion.

Lafarge Africa Plc has announced the redemption of its matured N33.6 billion Series 2 bond due on June 15, 2021.

This is according to a notice signed by the company’s CFO, Lolu Alade-Akinyemi, and sent to the Nigerian Exchange Group Limited.

According to the notice, the redeemed bond was issued on June 15, 2006 with a 5-year tenor and a fixed coupon of 14.75%. Sequel to this, the firm has announced the redemption of the matured bond. Affirming this, a part of the recently issued notice read thus: ‘’ The Company leveraging on its performance and its recently concluded Management strategic plans to systematically deleverage the Company, has redeemed the Series 2 Bond from internally generated cash flow.

‘’In view of this, the Company has no outstanding issued Bond under the N100 Billion Bond issuance Programme.’’

What you should know:

• Lafarge Africa Plc had registered a N100 billion Bond Issuance Programme in June 2016, out of which the sum of N60 billion was issued in Series 1 and 2 of the programme.
• The Series 1 bond was issued on June 10, 2016 with a 3-year tenor and at a fixed coupon of 14.25%. This bond has since been redeemed.
• In addition, the Series 2 bond which was due to mature on June 15 2021, has now been fully redeemed.

For more information about the recent disclosure, click HERE.