United Capital leads issuance of Sierra Leone’s $1.4m corporate bond

United Capital Group has successfully led the issuance of Sierra Leone’s first local currency corporate bond, valued at SLE32 million, approximately 1.4 million dollars.

The group, in a statement by the Group on Tuesday in Lagos, said that the historic milestone signified a transformative moment for Sierra Leone’s capital market.

It stated that acting as the Financial Adviser, United Capital through its investment banking business, provided bespoke structuring, financial advisory, and fundraising services to the Issuer, LAPO SL.

It said the Issuer, a microfinance institution serving micro, small, and medium enterprises (MSMEs) in Sierra Leone, has a significant focus on providing affordable loans to women from low-income households.

Dr Gbadebo Adenrele, Managing Director, Investment Banking, United Capital Group, expressed enthusiasm about the transaction, noting that the group was pleased to have advised LAPO SL on the deal.

Adenrele noted that the transaction not only strengthened the corporate bond framework but also deepened the Sierra Leonean capital market.

He said: “At United Capital, we are committed to enhancing the capital market ecosystem across Africa through active participation in innovative transactions like this.

“This bond issuance is a significant step in United Capital’s broader strategy to expand its footprint across the African capital market.

United Capital Group’s Chief Executive Officer, Mr Peter Ashade, stated that the development would have a positive on pan-African.

He described the successful corporate bond issuance in Sierra Leone as a testament to a strategic focus on expanding the company’s presence across Africa.

According to him, leveraging expertise and resources by the company is unlocking new opportunities and driving economic growth across the continent.

“Our goal is to empower corporate and sovereign governments with tailored financial solutions that transcend borders and foster prosperity throughout Africa”, he added.

The transaction, he explained, was a collaboration involving key financial institutions including Invest Salone, a UK-funded private sector development programme and Pennarth Greene, a Sierra Leonean-based corporate finance advisory firm.

The development, he clarified underscored a collective commitment to developing the bond market in Sierra Leone.

“The Africa Local Currency Bond Fund (ALCB Fund) served as the anchor investor, injecting approximately SLE27 million into the transaction, which further signalled a strong interest in Sierra Leone’s burgeoning economy, ”he said.

According to him, the group’s pivotal role in the transaction was the highlight of its capacity to lead and manage significant capital market activities across borders.

Ashade revealed that the Group’s track record includes leading major listings on the Transcorp Power IPO on the Nigerian Exchange (NGX), which boasted the market capitalisation of N1.8 trillion.

He further said it was the affirmation of its position as a key player in Africa’s financial landscape.

United Capital is a Pan-African banking, financial institutions and investment service, offering bnvestment banking, asset management, trusteeship, securities trading, wealth management, and consumer finance.

The group is leading the charge to become the model financial and investment services group in Africa through expanded operations across various regions including Nigeria, Ghana, and Cote d’Ivoire.