By Nkiruka Nnorom
THE FMDQ OTC Plc, the securities exchange that organises transaction in fixed income instruments, yesterday admitted the FSDH Merchant Bank’s N14.98 billion Commercial Papers for trading on its platform.

The listing and quotation was sequel to the successful raising of the fund from the FMDQ platform. The CPs represent Series 1 and 2 under FSDH’s N30 billion CP issuance programme..

Speaking at the quotation ceremony in Lagos, Mr. Bola Onadele. Koko, Managing Director/CEO, FMDQ, said the successful issuance of the CPs was a testament to the increasing confidence in the possibilities of the Nigerian Debt capital Market, DCM. “At FMDQ, we are positive about the potential of a fully-functional DCM in building a sustainable economy, and will continue to support and streamline the market processes and infrastructure, as may be necessary to support issuers and investors towards achieving an operationally excellent and competitive DCM,” he said.

In his address at the event, Mr. Rilwan Belo-Osagie, Managing Director, FSDH Merchant Bank Limited, said: “The CPs are being quoted on the FMDQ platform in line with the requirements of the Central Bank of Nigeria (CBN), but more importantly, to facilitate active secondary market trading of the CPs. FSDH was very active in the CP market prior to its suspension by the CBN in 2009 and the quotation of the N14.98 billion Series 1 and 2 CP serves as an opportunity for FSDH to restate its presence and significance in the money market, and participate in the development and deepening of the CP market under the CBN’s revised regulations.

Also speaking, Mr. Kobby Bentsi-Enchill, Executive Director/Head, Debt Capital Market, Stanbic IBTC Capital Limited, said: “We are excited about the growth in the CP market.

Over the past two years, we have witnessed a remarkable increase in the number of issuance in the CP market and we are proud to be pivotal to the development of this market. An increase in the number of CP issuance with a quotation on the FMDQ platform is vital to creating liquidity in secondary market trading of CPs.

We are exceptionally pleased to have worked with FSDH in setting up its maiden CP programme and the successful debut issuance of N14.98bn across Series 1 and 2. We are also pleased to sponsor the quotation of the FSDH CP on the FMDQ platform. FSDH has demonstrated its commitment to the growth of the fixed income market by its decision to complement its funding requirements by accessing the money and capital markets in Nigeria.”

With its robust and efficient platform for the registration, listing and quotation of debt securities (bonds, CPs, mutual funds, etc.), FMDQ has progressively continued to champion and effectively support initiatives aimed at boosting the growth and development of the Nigerian DCM and economy at large.