Champion Breweries Plc recently issued its 5-year fixed rate senior unsecured bond to investors at a coupon of 19.50 per cent under its N45 billion bond issuance programme.
The exercise saw about N30 billion raised, with participation from a diverse set of institutional investors, including Pension Fund Administrators (PFAs), asset managers, trustees, a bank, a registrar and High Net-Worth Individuals (HNIs), underscoring strong confidence in Champion Breweries’ credit quality and long-term growth strategy under its management team and board of directors.
Business Post reports that one of the major facilitators of the transaction was Rand Merchant Bank, which acted as lead issuing house and bookrunner.
Proceeds from the issuance would be strategically used to enhance operational efficiency, enabling Champion Breweries sustain growth and deliver long-term value to stakeholders.
This landmark transaction marks a significant milestone as Champion Breweries continues to expand its footprint and strengthen its position in Nigeria’s beverage industry.
It is the first bond to be issued by a player in the breweries sub-sector in Nigeria, signalling the company’s ambition to diversify its funding sources, strengthen its capital structure, and position Champion Breweries for sustainable growth in a competitive market.
“The successful bond issuance is more than a financing milestone; it is a statement of intent. By accessing the debt capital markets, we have demonstrated the strength of our governance, the resilience of our business model, and the confidence investors place in our long‑term vision,” the chairman of Champion Breweries, Mr Imo-Abasi Jacob, commented.
On his part, the chief executive of Champion Breweries, Mr Inalegwu Adoga, said, “This successful Bond Issuance reflects investor confidence in Champion Breweries and our strategic direction under EnjoyCorp. With this capital, we are focused on driving operational efficiency and unlocking opportunities that will sustain growth and reinforce our leadership in Nigeria’s beverage market.”
Also speaking, an Executive Director at Rand Merchant Bank Nigeria Limited and Head of Investment Banking for Broader Africa, Mr Chidi Iwuchukwu, said, “Champion Breweries Plc’s maiden Bond Issuance is a significant milestone for the breweries sub-sector and reflects the increasing depth of Nigeria’s debt capital markets.
:Rand Merchant Bank is proud to have partnered with Champion Breweries as lead issuing house and bookrunner, leveraging our expertise in credit ratings advisory, transaction structuring, debt advisory, as well as investor and regulatory engagements to deliver seamless execution.
“This success reinforces our commitment to delivering holistic solutions that help clients achieve strategic objectives and set new benchmarks. We appreciate Champion Breweries Plc’s confidence in RMB Nigeria throughout this journey.”
The chief executive of RMB Nigeria, Mr Bayo Ajayi, said, “We are proud to have led and advised Champion Breweries through the process of accessing long-term funding from the debt capital markets.
“This transaction demonstrates the depth and sophistication of Nigeria’s debt capital markets. At RMB Nigeria, we remain committed to structuring solutions that meet our clients’ funding needs while contributing to the development of Nigeria’s capital markets. Champion Breweries’ successful issuance sets a strong precedent for future bond issuances from players in the breweries sub-sector.”