Champion Breweries Plc has successfully redeemed its N4.21bn Series 1 Commercial Paper (CP) notes at maturity, part of its broader N15bn Commercial Paper Issuance Programme. The move marks a significant milestone in the company’s short-term financing strategy, demonstrating its financial discipline and operational resilience.

The Series 1 Commercial Paper, which had a tenor of 176 days and was issued at a discount rate of 21.1081%, provided cost-effective short-term funding that strengthened Champion Breweries’ liquidity and enhanced cash flow management. The programme’s oversubscription by 50% for both Series 1 and Series 2 notes further reflected strong investor confidence in the company’s credit profile and commitment to delivering sustainable value to stakeholders.

Champion Breweries emphasized that the full and timely repayment of the Series 1 Commercial Paper underscores its prudent treasury practices and disciplined financial management. The company noted that this successful redemption reinforces trust in its operational resilience and liquidity framework, both critical for continued engagement in Nigeria’s debt capital markets.

Dr. Inalegwu Adoga, Managing Director of Champion Breweries Plc, described the redemption as a testament to the company’s commitment to transparency and financial discipline. “This successful redemption highlights our commitment to financial discipline and transparency. It is a testament to the trust our investors place in us and strengthens our ability to execute our long-term growth strategy while delivering value to all stakeholders,” Adoga said.

Looking ahead, Champion Breweries reiterated its focus on maintaining robust financial health, sustaining stakeholder confidence, and strategically executing its long-term growth plans. The Commercial Paper Programme remains a key component of the company’s capital markets strategy, offering flexible funding access in line with prevailing market conditions.

source: punch