The pioneering issuance of Sierra Leone’s inaugural local currency corporate bond, valued at SLE32m (equivalent to US$1.4m), was led by United Capital Group.
Acting as the Financial Adviser, United Capital’s investment banking division provided expert structuring, financial advisory, and fundraising services to the bond issuer, LAPO SL, as disclosed in a statement shared with our correspondent on Tuesday.
LAPO SL, a microfinance institution committed to aiding micro, small, and medium enterprises in Sierra Leone, particularly focuses on offering accessible loans to women from low-income households.
Gbadebo Adenrele, the Managing Director of Investment Banking at United Capital Group, expressed his excitement about the successful completion of the transaction.
He remarked, “Advising LAPO SL on this significant transaction is a source of satisfaction for us. This not only reinforces the corporate bond framework but also enhances the depth of the Sierra Leonean capital market.”
Demonstrating United Capital’s dedication to enriching the capital market ecosystem throughout Africa through active involvement in innovative deals like this,” he affirmed.
Peter Ashade, the Group CEO of United Capital, highlighted that the bond issuance aligns with the company’s overarching strategy of broadening its footprint in the African capital markets.
He underscored the transaction’s pan-African significance, stating, “The triumph of this corporate bond issuance in Sierra Leone underscores our strategic objective of extending United Capital’s reach across Africa. By harnessing our expertise and resources, we are unlocking fresh prospects and propelling economic advancement across the continent.”
“Our aim is to equip corporates and sovereign governments with bespoke financial solutions that transcend boundaries and promote prosperity throughout Africa,” Ashade affirmed.
Ashade mentioned that the Africa Local Currency Bond Fund acted as the principal investor, infusing approximately SLE27m into the deal.
Highlighting this as a clear sign of unwavering interest in Sierra Leone’s emerging economy, he pointed out the group’s history of spearheading significant listings, such as the Transcorp Power IPO on the Nigerian Exchange, boasting a market capitalization of N1.8tn, reaffirming its pivotal role in Africa’s financial realm.