The Nigerian debt capital market (DCM) provides the opportunity for institutions looking to unlock the required financing in Nigeria’s agriculture sector. In keeping with its mandate to continuously enhance its service offerings and generate long-term value for its stakeholders in the Nigerian DCM, FMDQ Securities Exchange Limited (“FMDQ Exchange” or “the Exchange”) through its Board Listings and Markets Committee, has approved the registration of the Babban Gona Farmers Services Nigeria Limited ₦15.00 billion Commercial Paper (CP) Programme on its platform.
Babban Gona Farmers Services Nigeria Limited (“Babban Gona” or “the Issuer”) is a social enterprise that seeks to sustainably improve the lives of smallholder farmers in Nigeria through the provision of comprehensive farming services. Speaking on the successful registration of the CP Programme, the Managing Director, Babban Gona Farmer Services Nigeria Limited, Mr. Bukola Masha, stated “we are an agricultural franchise committed to curbing the growing trend of poverty and violence in Africa by creating opportunities of dignified and fulfilling work for the rural farmer youths. We aim to make farming more profitable for smallholder farmers as we support them across the entire production chain. With the successful registration of this ₦15.00 billion CP Programme, we are a step closer to achieving this goal; we are delighted at the opportunity to diversify our short-term funding sources and look forward to the participation of the investment community when we launch Series 1 of the CP Programme”.
Also commenting on the registration of the CP Programme, the sponsor of the CP Programme and a Registration Member (Quotations) of the Exchange, FCMB Capital Markets Limited, through its Ag. Managing Director, Mr Abimbola Kasim, stated “FCMB Capital Markets is pleased to have sponsored the registration of the Babban Gona CP Programme. Babban Gona is an impact company, operating in the agriculture space by providing practical and innovative solutions to smallholder farmers, leveraging technology to make farming more profitable by creating millions of youth jobs (“agri-preneurs”) and stimulating strong economic growth. We provided the required support that has enabled the Issuer to comply with the requirements for registering its debut CP Programme with which it will make an entry into the Nigerian DCM. Given the critical role of agriculture in the country and Babban Gona’s innovative delivery approach, we will continue to support the company’s objectives”.
FMDQ Group is Africa’s first vertically integrated financial market infrastructure group, strategically positioned to provide registration, listing, quotation and noting services; integrated trading, clearing & central counterparty, settlement, and risk management for financial market transactions; depository of securities, as well as data and information services, across the debt capital, foreign exchange, derivatives and equity markets, through its wholly-owned subsidiaries – FMDQ Exchange, FMDQ Clear Limited, FMDQ Depository Limited and FMDQ Private Markets Limited.