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 Agusto & Co. affirms the “A-” rating to Flour Mills of Nigeria Plc.’s ₦10.11 billion Series 1 3-Year 15.5% Fixed Rate Senior Unsecured Bond

Rating Release

 Agusto & Co. affirms the “A-” rating and attaches a stable outlook to Flour Mills of Nigeria Plc.’s (‘Flour Mills’, ‘FMN’ ‘Issuer’ or ‘the Company’) ₦10.11 billion Series 1 3-Year 15.5% Fixed Rate Senior Unsecured Bond Due 2021 (‘Series 1’) and ₦10 billion Series 2 5-Year 16% Fixed Rate Senior Unsecured Bond Due 2023 (‘Series 2’)

The rating assigned to the Series 1 & 2 bonds mirrors the standalone rating of the Issuer, as the Bonds are senior and ranks pari passu with other senior debt. In addition, the repayment of the Bonds is from the operating cash flow of Flour Mills of Nigeria Plc.

The Series 1 Bond principal is redeemable as a bullet payment on the maturity date in October 2021 while the Series 2 Bond Principal has a one-year moratorium from issue date and will subsequently be redeemed in eight semi-annual instalments until maturity of the Bond in October 2023.

The opinions expressed in this rating release do not represent investment or other advice and should therefore not be construed as such. Visit www.agusto.com for further information.

This Rating Release is transmitted to you for the sole purpose of dissemination through your newspaper / magazine / agency. The rating release may be used by you in full or in part without changing the meaning or context thereof but with due credit to Agusto & Co.