In a move to bolster its operations and drive expansion, Presco Plc has announced the commencement of a N100bn bond issuance under its N150bn bond programme.
This was contained in the company’s notice to the Nigerian Exchange Limited seen by NewsNGR.
The initiative, according to the company, has received the necessary approvals from the company’s Board of Directors and the Securities and Exchange Commission (SEC).
The bond issuance, classified as Series 1, is set to begin immediately and will close on Friday, January 10, 2025.
Presco Plc has outlined plans to utilize the proceeds for the acquisition of Ghana Oil Palm Development Company (GOPDC) Limited and to fund the expansion of its existing operations. This aligns with the company’s commitment to enhancing its footprint in the agricultural and agro-allied sector.
The statement reads:
“Presco Plc has obtained approval of it’s Board of Directors to access medium to long-term debt funding from the domestic capital market of up to N100bn series 1 bonds under its N150bn bond programme.
“All the relevant approvals from the Securities and Exchange Commission in respect of the issuance have been received. The bond issue commences immediately to close on Friday, January 10 2025.
“The proceeds of the funds will be applied towards funding the acquisition of Ghana Oil Palm Development Company (GOPDC) Limited and expansion on existing operations by Presco Plc”.
The approval of this bond issuance according to market watchers, marks a significant milestone for Presco Plc as it positions itself for growth and increased market share in the West African region.
The move highlights Presco’s strategic focus on leveraging domestic capital market opportunities to finance its growth ambitions.