The Debt Management Office (DMO) has announced the offer for subscription, Federal Government Bonds (FGN Bonds), valued at N150 billion for January 2021.
This is according to a notification released by the DMO and seen by Nairametrics. The latest offers come in three tranches:
N50, 000,000,000 – 16.2884% FGN MARCH 2027 (10-Year Re-opening).
N50, 000,000,000 – 12.50% FGN MARCH 2035 (15-Year Re-opening).
N50, 000,000,000 – 9.80% FGN JULY 2045 (25-Year Re-opening).
Units of Sale: N1, 000 per unit subject to a minimum subscription of N50,001,000 and in multiples of N1,000 thereafter.
Auction Date: January 20, 2021.
Settlement Date: January 22, 2021.
Interest Payment: Payable semi-annually.
Reports have revealed that the latest FGN Bond offer across three maturities is N90billion more than the amount offered in the previous month (December 2020) at N60billion, indicating an increase of 150%.
Interested investors were advised to contact offices of any of the listed 13 Primary Dealer Market Makers (PDMMs). The DMO reserves the right to alter the amount allotted in response to market conditions.
FGN Bonds are debt securities (liabilities) of the Federal Government of Nigeria (FGN), issued by the Debt Management Office (DMO) for and on behalf of the Federal Government. The FGN has an obligation to pay the bondholder the principal and agreed interest as and when due.