VFD Group Plc has announced the successful completion of its Series 1 Commercial Paper (CP) Issuance, raising a substantial ₦27.2 billion. This issuance, part of its larger ₦50 billion Commercial Paper Programme, saw an overwhelming investor response, resulting in a 100% oversubscription of the initial ₦15 billion offer. The strong demand underscores the market's confidence in VFD Group's credit profile and its strategic long-term vision.

The Series 1 CP was structured with two maturity tenors: 270 days and 364 days. The issuance attracted a diverse range of qualified investors, including asset managers, insurance firms, and other high-net-worth participants within Nigeria’s domestic debt market. The significant oversubscription, which prompted the company to upsize the issuance from its initial target, is a testament to the sustained investor trust in VFD Group’s diversified business model, its robust capital management framework, and its projected growth trajectory.

Folajimi Adeleye, Executive Director of Finance at VFD Group Plc, commented on the success of the issuance: “The strong investor demand and subsequent upsizing of the issuance to ₦27.2 billion reflect the resilience of our credit profile and the market’s confidence in our strategic direction. We remain committed to prudent capital management, funding diversification, and delivering sustainable value to our shareholders and stakeholders.”

The funds raised from this CP issuance are earmarked for supporting the Group's short-term working capital requirements and general corporate purposes, aligning with VFD’s established liquidity and capital management strategy. By utilizing its Commercial Paper Programme, VFD Group continues to optimise its cost of capital while maintaining crucial financial flexibility in the dynamic macroeconomic landscape. This successful raise further solidifies the Group’s active presence and its ability to access competitive funding through varied channels within Nigeria’s capital markets.

The Series 1 CP issuance is a key component of VFD Group's comprehensive capital strategy, which synergistically combines equity strengthening initiatives with the deployment of efficient short-term funding instruments. The overwhelmingly positive market reception validates the Group’s operational resilience and its ambitious expansion plans across its varied investment portfolio.