BTA2023 Dangote Cement Plc has announced plans to issue its Series I bonds under its N300bn multi-instrument issuance program.
This was contained in a recent statement by the company.
Dangote Cement Plc said it has obtained approval from its Board of Directors to access medium- to long-term debt funding from the domestic capital markets.
The proceeds of the bonds will be applied towards refinancing existing debt and for working capital purposes.
It stated, “Dangote Cement Plc has obtained approval of its Board of Directors to access medium- to long-term debt funding from the domestic capital markets. The company had filed an application with the Securities and Exchange Commission in respect of the bonds, and relevant approvals have now been received.
“The bonds will be issued imminently, subject to favourable market conditions. The proceeds of the bonds will be applied towards refinancing existing debt and for working capital purposes.”
In the nine months to September 30, Dangote Cement reported N2.5tn in revenue for the nine months of 2024, largely fueled by increased local market sales.
The company said it had filed an application with the Securities and Exchange Commission in respect of the bonds, and relevant approvals have now been received.
The largest cement maker said the bonds will be issued imminently, subject to favourable market conditions.
According to the cement result, its revenue grew by 69.1 percent from N1.5tn reported in the same period of 2023, with Nigeria’s sales volume rising by 9.5 percent and Pan-Africa market sales declining by 1.6 percent.
“Our financial results for the nine months demonstrate superior performance across key metrics as we diligently execute our strategic priorities for the year. Group volumes grew by 1.9 percent year-on-year to 20.7 million tons, largely due to a significant rebound in Nigeria,” said Arvind Pathak, Chief Executive Officer, Dangote Cement.
Dangote Cement’s earnings before interest, taxes, depreciation, amortization, & impairment spiked by 37.10 percent to N908.69bn as of September 2024 from N662.76bn as of September 2023.
A breakdown of figures shows Dangote Nigeria’s EBITDA rose by 37.25 percent to N506.11bn, while the Pan-African regions were up 45.35 percent to N170.01bn.
After-tax profit during the period increased by a single-digit 0.55 percent to N279.09bn from N277.5bn.
A further analysis of the company’s statement disclosed that in the first nine months, the cost of sales increased by 92 percent, rising to N1.2 trillion from N642 billion in the same period of 2023.
