Image Credit: FSDH Capital

July 19, 2023/FSDH Capital

FSDH Capital Limited is pleased to inform you of the upcoming launch of up to N6 billion Series 11 and 12 Commercial Paper (“CP”) issuance by Neveah Limited (“Neveah” or the “Issuer” or “Company”) under its N20 billion CP Programme. This issuance has a 180-day and 270-day tenor for Series 11 and 12 respectively, and the transaction structure includes the listing of the notes on the FMDQ Securities Exchange Limited.

Neveah is a registered limited liability company incorporated in 2014 and registered with the Nigerian Export Promotion Council (NEPC) to export commodities from Nigeria. The Company exports agricultural commodities and solid minerals such as columbite, lead ore, tin & zinc ore, dried hibiscus flower, hibiscus siftings, dried split ginger, peanuts, and orange peels to several countries including United States, Spain, Germany, Portugal, the UAE, India, and China. Since incorporation, it has expanded into mineral-based metals, where it has successfully executed several contracts regarding the supply of metals such as columbite, lead ore, etc.

The issuer was awarded a long-term rating of BBB by DataPro Limited and Bbb- by Agusto & Co. The rating reflects Neveah’s good credit quality and adequate capacity for timely payment of financial commitments. In addition, the rating shows fair financial strength, operating performance, and business profile when compared to the standard established by the rating agency.

The company’s revenue and profitability have grown tremendously due to a combination of volume growth, enhanced operational efficiencies, and increases in the exchange rate. The operating and profit before tax for the company surged by an average of 110%, reaching N 2.25 billion and N 1.09 billion in April 2023, respectively. Additionally, Neveah Limited was awarded the best sectoral exporter of the year 2022 by the Nigerian Export Promotion Council (NEPC). The company was also awarded the 18th fastest growing company in Africa by the Financial Times.

Summary of the indicative terms of the proposed Issue is indicated below: 

Transaction Summary  

Kindly click here to view the following documents for your information and use:

• Investor Presentation
• Audited Financial Report (2018 -2022)
• Credit Rating Reports
• Q1-2023 Management Account
• Executed Programme Memorandum   
• PENCOM Certificate