Rating Release
Agusto & Co. hereby affirms the “Bbb+” rating assigned to Geregu Power Plc’s ₦40.085 Billion 7-Year 14.5% Senior Unsecured Fixed Rate Bond
The rating expires on 28 July 2024.
Agusto & Co. hereby affirms the “Bbb+” rating assigned to Geregu Power Plc’s (“Geregu Power”, “the Issuer”, or “the Company”) ₦40.085 Billion 7-Year 14.5% Senior Unsecured Fixed Rate Bond Due 2029 (“Series 1 Bond”, “the Bond” or “the Issue”) under the ₦100 Billion Multi- Issuance Programme. The rating mirrors the standalone “Bbb+” rating assigned to Geregu Power Plc given that its operating cash flows have been irrevocably and unconditionally pledged as the primary source of repaying the Series 1 Bond obligations. On 28 July 2022, Geregu Power Plc issued its maiden ₦40.085 Billion Series 1 Bond by way of an offer for subscription to qualified investors. The 14.5% fixed coupon rate on the Bond is payable on the twenty-eighth day of July and January every year for seven years, while the principal amount will be redeemed bi-annually (beginning from 28 January 2025) after the expiration of the two-year moratorium. The Series 1 Bond obligations are being met from the Issuer’s operating cash flows.
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.
