Dangote Cement to Launch N300bn Bond Issuance

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Olori Uwem

Active Member
Mar 18, 2024
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Dangote Cement to Launch N300bn Bond Issuance

Detailed Breakdown:

Dangote Cement Plc has revealed plans to issue its Series I bonds as part of its N300 billion multi-instrument issuance programme.

Key Highlights:

1. Board Approval Secured
The company has obtained approval from its Board of Directors to seek medium to long-term debt funding through the domestic capital markets.

2. Application and Approvals
• An application was filed with the Securities and Exchange Commission (SEC).
• Relevant approvals for the bond issuance have been granted.

3. Proceeds Utilization
• Refinancing existing debt.
• Supporting working capital needs.

4. Market Conditions
The bonds are set to be issued shortly, contingent on favourable market conditions.

Financial Performance:

• Revenue Growth
In the first nine months of 2024, Dangote Cement recorded a revenue of ₦2.5 trillion, a 69.1% increase from ₦1.5 trillion in the same period in 2023.
• Sales Volume
• Nigerian sales volume rose by 9.5%.
• Pan-African market sales dropped by 1.6%.
• EBITDA Growth
Group EBITDA rose by 37.1% to ₦908.69 billion, with notable increases in:
• Nigeria: ₦506.11 billion (+37.25%)
• Pan-Africa: ₦170.01 billion (+45.35%)
• Net Profit
After-tax profit saw a modest rise of 0.55%, reaching ₦279.09 billion compared to ₦277.5 billion in 2023.
• Cost of Sales
Increased by 92%, climbing to ₦1.2 trillion from ₦642 billion in 2023.

CEO’s Statement

Arvind Pathak, CEO of Dangote Cement, highlighted the company’s strong performance across key metrics, driven by its strategic focus and a rebound in the Nigerian market.

This issuance is a significant move by the company, reflecting its commitment to maintaining financial stability and driving growth across operations.

️ Stay tuned as this bold step unfolds!