VENTURES AFRICA – Leading global financial services firm, Goldman Sachs and Stanbic IBTC have been appointed to oversee Nigeria’s $100 million Diaspora bond sale, the country’s Debt Management Office (DMO) has said.
Nigeria, Africa’s largest economy, embarked on a global roadshow in 2013 to showcase a $1 billion bond, with visits to the US, UK and parts of Europe inviting investors to take advantage of its burgeoning economy.
Proceeds from the billion-dollar bond are expected to be re-invested in infrastructure development, particularly in the power and oil industries.
This new $100 million targets Nigerians in diaspora, allowing them join in the process of funding economic development and the resulting financial benefits. However, a clearly thought out strategy regarding how the returns from the Diaspora bond, which was expected to be floated in December of 2013, is yet to be disclosed to the public.
International and local legal advisers, Olaniwun Ajayi LP and Arnold & Porter LLP have also been appointed for the issue, DMO’s website read.
Nigeria’s recent economic purple patch has seen the country witness an average growth of 6 percent. This has attracted the attention of global and local investors keen on exploiting emerging markets for richer financial returns.