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2 clusters · 4 sources · 3 days · First seen · Last updated

United Nigeria Airlines commercial paper issuance

Overview

United Nigeria Airlines has announced plans to raise up to N20 billion through the issuance of Series 1 and Series 2 commercial papers. This initiative makes the company the first domestic airline in Nigeria to access the short-term debt market and is part of a broader N100 billion commercial paper programme.

The funds are intended to support short-term working capital and a five-year expansion strategy involving the launch of new international routes and the expansion of domestic and regional operations. The airline aims to add six aircraft to its current fleet of 10 by the end of the year.

Financial reports indicate significant growth, with revenue rising from N10.3 billion in 2021 to N90.8 billion in 2025, and profit after tax increasing from N1.3 billion to N23.8 billion over the same period. The airline has secured investment-grade ratings from Agusto & Co. and DataPro. Meristem Capital Limited is serving as the lead arranger for the transaction.

Entities

Meristem Capital Limited · United Nigeria Airlines · Cordros Advisory Services Limited · Agusto & Co. · DataPro

Timeline

  1. [BUSINESS] 3 sources
    United Nigeria Airlines to raise N20bn via commercial paper

    United Nigeria Airlines aims to raise N20 billion through a commercial paper issuance, marking the first time a domestic Nigerian operator has utilized this method to fund its expansion.

  2. [BUSINESS] 2 sources
    United Nigeria Airlines targets N20 billion via commercial paper issuance

    United Nigeria Airlines aims to raise N20 billion via commercial paper, becoming Nigeria's first domestic airline to tap the short-term debt market to fund its operational expansion.

Sources

businessday.ng · nairametrics.com · punchng.com · thisdaylive.com