NGX Lists First Commercial Papers With Dangote Cement Deal

AFRICAN STOCKS AND FINANCEFebruary 21, 2026 at 12:59 PM UTC

TLDR

Nigerian Exchange Limited admits first Commercial Paper listings on its platform by Dangote Cement Plc under a ₦500 billion Commercial Paper Issuance Programme.
Series 1 and Series 2, totaling ₦119.87 billion, are listed with implied yields of 17.50% and 19.00%, respectively, offering short-term funding options for companies.
Listing Commercial Papers on the NGX enhances price visibility, supports secondary market activity, and provides alternative funding channels in Nigeria's high-interest rate environment.

The Nigerian Exchange Limited has admitted its first Commercial Paper listings, marking the debut of short-term corporate notes on its platform.

Dangote Cement Plc listed Series 1 and Series 2 under its ₦500 billion Commercial Paper Issuance Programme. The two tranches, valued at a combined ₦119.87 billion, were admitted to trading on February 18, 2026.

Series 1 totals ₦19.95 billion with a tenor of 181 days and matures on May 20, 2026. It carries an implied yield of 17.50%. Series 2 amounts to ₦99.92 billion with a tenor of 265 days and matures on August 12, 2026. It offers an implied yield of 19.00%.

Both tranches were issued at a discount and will be redeemed at par value of ₦1,000 at maturity.

The listing follows the introduction in 2025 of a dedicated framework for Commercial Paper admissions on the NGX.

Commercial Papers are unsecured short-term instruments used by companies to fund working capital and other liquidity needs.

Key Takeaways

Commercial Papers in Nigeria have traditionally traded over the counter through private placements. Bringing them onto the exchange increases price visibility and may support secondary market activity. For issuers, listed CPs provide access to short-term funding without issuing long-dated bonds. For investors, they offer higher yields relative to bank deposits, reflecting prevailing interest rates and liquidity conditions. The implied yields of 17.50% and 19.00% reflect Nigeria’s high interest rate environment, where monetary tightening has raised borrowing costs across the market. By expanding into Commercial Paper listings, NGX strengthens its fixed-income segment alongside equities and bonds. A transparent CP market could deepen Nigeria’s corporate debt ecosystem and provide alternative funding channels for large issuers and, eventually, mid-sized firms seeking short-term capital.

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