Rand Merchant Bank (RMB) Nigeria acted as Joint Issuing House on the Bank of Industry's first domestic Naira-denominated bond, a ₦274.18 billion five-year fixed-rate instrument due in 2031. Based on publicly available market data, the transaction is the largest debt capital markets issuance by a development finance institution in Nigeria.
The Bank of Industry had initially planned to raise ₦250 billion. Strong investor demand allowed the bank to increase the issue to ₦274.18 billion, reflecting market confidence in its mandate, financial strength, and role in supporting industrial and economic development.
A broad base of institutional investors subscribed, including pension fund administrators, banks, insurance companies, asset managers, development finance institutions, and other institutional investors. The outcome points to the depth of liquidity in Nigeria's domestic capital markets and the ability of local investors to fund large-scale, long-term financing.
Chidi Iwuchukwu, Executive Director and Head of Investment Banking, Broader Africa at RMB Nigeria, said: "This transaction demonstrates the ability of Nigeria's capital markets to mobilise long-term capital at scale. BOI plays an important role in advancing industrialisation, enterprise growth, and job creation. We are pleased to have partnered with the Bank on this issuance and remain focused on delivering financing solutions that support sustainable economic growth in Nigeria and across the broader African continent."
Laju Atake, Head of Debt Capital Markets at RMB Nigeria, added: "Supporting inaugural issuers and significant capital markets transactions is a core strength of RMB's debt capital markets franchise. Over the past nine months, we have advised five distinct issuers on their debut debt capital markets transactions in Nigeria. BOI's domestic bond issuance reflects the continued development of Nigeria's capital markets and the importance of efficient access to long-term capital for leading institutions."
The deal extends RMB's long-standing relationship with the Bank of Industry. RMB previously acted as financial adviser on BOI's inaugural Eurobond issuance and supported the establishment of its domestic bond programme.
RMB expressed appreciation to the Securities and Exchange Commission, the Central Bank of Nigeria, professional advisers, transaction parties, investors, and other market participants for their contribution to the successful execution.
