Flour Mills of Nigeria Plc. (referred to as “Flour Mills” or “FMN”), Nigeria’s leading food and agro-allied group, has announced the issuance of the sum of N1.7 billion (series 6), under its N100,000,000,000 Commercial Paper Programme which is registered with the FMDQ OTC Plc. (FMDQ) and completed on February 14, 2019.
All issuances totaling N20.34 billion under the programme are quoted on the FMDQ Exchange.
The management of FMN disclosed that the commercial paper programme will help the Company to focus on its strategic objective of sustaining its market leadership position within the foods and agro-allied space.
Umolu, Joseph A. O. Company Secretary / Director, Legal Services on behalf of the company’s management on April 3rd, 2019 signed and released this through corporate disclosure of the Nigerian Stock of Exchange.
Commercial paper, or CP, is a short-term debt instrument issued by companies to raise funds generally for a time period up to one year. It is an unsecured money market instrument issued in the form of a promissory note and was introduced in India in 1990. Corporates which enjoy a high rating can diversify their sources of shortterm borrowings using CPs. Investors get an additional instrument. It is typically issued by large banks or corporations to cover short-term receivables and meet short-term financial obligations, such as funding for a new project.