The Debt Management Office (DMO) says it will offer N150 billion bonds for subscription in November on behalf of the federal government.

DMO said this in a circular issued on Thursday.

It said the bonds will consist of three equal tranches worth N50 billion each.

PATIENCE ONIHA

The first tranche is a 10-year reopening which will mature in January 2026 at the rate of 12.50%; the second is a 20-year reopening which will mature by April 2037 at the rate of 16.2499%; and the third is a 30-year reopening at the rate of 12.98%, to mature in March 2050.

The auction date is set for November 17, 2021, and the settlement date is November 19, 2021, according to DMO.

The agency said the transactions will be at N1,000 per unit subject to a minimum subscription of N50,000,000 in multiples of N1,000 thereafter.

It also said that the interest can be paid semi-annually, and the redemption should be in bullet payment on the maturity date.

 “For Re-openings of previously issued bonds (where the coupon is already set), successful bidders will pay a price corresponding to the yield-to-maturity bid that clears the volume being auctioned, plus any accrued interest on the instrument,” the circular reads.

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