Shareholders of Lafarge Plc yesterday at the annual general meeting (AGM) in Lagos approved plans by the company to issue a N100 billion bond later in 2018, ThisDay newspaper reported.
The proceeds of the bond would be used to refinance the company’s debts and it is coming after the company raised N131.6 billion through Rights Issue last year.
Chairman of the Lafarge Africa Plc, Mr. Mobolaji Balogun said the company had a debt of $600 billion in 2016.
“In order to address the impact on the business, $300 million was hedged via non-deliverable forward FX contracts provided by the Central Bank of Nigeria,” he said.
He said hence, the company raised N131.6 billion from a rights issue, which was subscribed by 100 percent to finance part of the debts.
Balogun said the N100 billion will be used to refinance already existing debts.