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….Commissions Network Of Nine Roads In Kosofe
The Lagos State Government has signed the issuance of N137.3 billion bond, aimed at executing key infrastructural projects in the state.
At the the signing ceremony in Ikeja, Lagos State Governor, Mr Babajide Sanwo-Olu, explained that the conclusion of the process brought to N377.715 billion, the total value of bond issued from the Lagos State N500 billion debt issuance programme.
He said this is also the third time a sub-national would issue a long-date Bond (10 years), in the Nigerian domestic debt capital markets, following the debut issuance of a 10-year instrument in 2017.
According to him,in order to adequately commence the funding of the projects, the state government formally commenced the issuance process in April 2021.
He hinted that in the last eight months, and with the support of transaction advisers, the government has been able to achieve this laudable feat, which to some observers looked impossible.
He added:”We are gathered here for the signing of the necessary documents required by the Securities & Exchange Commission (SEC), to finalise the issuance of Lagos State’s N137.3 billion, 13 per cent 2021/2031 Fixed Rate Bond Series IV Bond Issuance, under the N500 Billion Fourth Debt Issuance Programme.
”We set out to raise up to N125 billion and closed the Book Build with bids totalling N137.3 billion.This strong response from the investing community – to our administration’s debut bond issuance – is humbling and is indeed a testament to continued investor confidence in the state’s ability to deliver on its infrastructural and socio-economic developmental objectives; and to meet repayment obligations.
”Notwithstanding the significantly over-subscribed book, and active participation from a wide array of institutional investors – including banks, pension fund administrators, asset managers and corporates, Lagos State has maintained its discipline on size and pricing,” he said.
The governor said that in line with the state’s vision to build a Greater Lagos, the proceeds of the Bond would be used to finance key infrastructure projects, primarily in roads and healthcare.
He said that these projects included the Lekki Regional Road, Rehabilitation of Ijeododo road and Rehabilitation of the alternative route to Admiralty Circle Toll Plaza.
Sanwo-Olu said that these projects would contribute to a better quality of living for the people, while also creating a more enabling environment for commercial and economic activities.
”There is no doubt — and we have seen this from previous interventions — that the multiplier social and economic effects will more than justify the cost of investment.
”We applaud the Federal Ministry of Finance, PENCOM and Debt Management Office Nigeria, for their support and collaboration. Our appreciation also goes to the Securities & Exchange Commission.
”We equally thank the investing community for their sustained support of Lagos State and our efforts to improve the social and economic welfare of all residents in Lagos. We do not take for granted your enthusiastic response to our Bond offer.
”We will continue to uphold our commitment to remain the most responsible issuer in the Nigerian capital market,” he said.
Meanwhile,the Lagos State government, has formally unveiled network of nine roads with Bridge within Soluyi Community in Kosofe Local Government Area of the state.
The Network of Nine Roads include Aderemi Akeju Street with Deck on pile Bridge, Okun Street, Femi Kufo Street, Brown Street, Adegbenro/Ganiyat Dawodu Streets, Yetunde Street, Anipole Street and Sosanya Street.
Speaking at the ceremony,Governor Babajide Sanwo-Olu,congratulated members of the community and urged them to take full ownership of the roads.
“I want to implore the Community Development Association of this area to immediately assume ownership of and responsibility for the judicious use of these projects/roads. You must care for them with devotion and dedication, and keep them clean, and the drainage free of waste, at all times,” he said.
The governor, who noted that the roads would enhance connectivity of the communities, added that there was need for trust in governance, as their requests would be met. He said his administration is working on other roads in the area.
Speaking earlier, Special Adviser to the Governor on Works and infrastructure, Aramide Adeyoye, said the delivery of the nine roads and bridge had helped in improving connectivity while providing multiple bye pass, encourage traffic flow, which had helped in reducing gridlocks in the axis.
She commended the vision of Governor Sanwo-Olu’s administration to continue to improve the speed and ease with which people can commute from one point to another in line with the State Transport Master Plan.
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