Rating Release

Agusto & Co. affirms the “Aaa” rating assigned to LFZC Funding SPV Plc’s ₦25 Billion 20-Year 13.25% Series 3 Senior Guaranteed Fixed Rate Infrastructure Bond Due 2043, with a stable outlook 

The rating expires on 4 March 2027. 

Agusto & Co. hereby affirms the “Aaa” rating assigned to LFZC Funding SPV Plc’s (“LFZC Funding SPV”, “the Issuer” or “the sponsor”) ₦25 Billion 20-Year 13.25% Senior Guaranteed Fixed Rate Infrastructure Bond Due 2042 (“Series 2 Bond”, “the Bond” or “the Issue”) under its ₦50 Billion Bond Issuance Programme. The assigned rating reflects the application of Agusto & Co.’s credit substitution criteria, under which the rating of a guaranteed instrument is equalised with the standalone rating of the guarantor, provided the guarantee is irrevocable, unconditional and covers the full quantum of the instrument’s obligations. The Series 2 Bond is supported by such a guarantee from Infrastructure Credit Guarantee Company Limited (“InfraCredit” or “the Guarantor”), which obligates InfraCredit to settle all Bond obligations in full and on time should Lagos Free Zone Company (“the Co-Obligor” or “the Sponsor”) fail to do so. This rating equalisation is maintained irrespective of Agusto & Co.’s assessment of the Sponsor’s financial condition, as the guarantee is the primary basis for the rating alignment. InfraCredit is rated “Aaa” by Agusto & Co., reflecting its strong financial condition and robust capacity to meet its obligations as and when due.

Lagos Free Zone Company (LFZC) is the developer and operator of the Lagos Free Zone, Nigeria’s first privately owned free zone, strategically located along the Lekki Corridor in Lagos and integrated with the Lekki Deep Sea Port. The zone is a master-planned, multi-cluster industrial hub with approximately USD 2.7 billion in employed capital, serving sectors including FMCG, pharmaceuticals, chemicals, engineering, and logistics. LFZC finances its infrastructure development through its special purpose vehicle, LFZC Funding SPV PLC, which has an active debt issuance programme listed on the FMDQ Exchange. The zone is promoted by the Tolaram Group and offers businesses world-class infrastructure, tax incentives, and direct access to regional and global markets through its integrated port operations.