Credit Direct Finance Company Limited (Credit Direct), a member of the FCMB Group and Nigeria’s leading non-bank consumer lending institution, has successfully completed its debut commercial paper issuance under its N10 billion programme. Listed on the FMDQ platform, the offering was met with remarkable investor interest, culminating in a 137% oversubscription. This milestone marks a new chapter in Credit Direct’s funding strategy and further solidifies its growing reputation in Nigeria’s financial services industry.
Strong Market Confidence: Oversubscription by 137%
Initially aiming to raise N5 billion split into two tranches—Series I (182 days at a yield of 15%) and Series II (268 days at a yield of 16%)—Credit Direct received an overwhelming response, securing N6.86 billion at face value. This outcome is not only a vote of confidence from institutional investors but also an affirmation of the company’s robust business fundamentals, operational resilience, and strategic direction.
The Commercial Paper (CP) issuance, part of a larger N10 billion programme, is designed to diversify the company’s funding sources and support its ongoing growth efforts. The successful outcome reinforces Credit Direct’s standing as a trustworthy borrower and a company that consistently delivers value to its stakeholders.
Bolstering Growth Through Financial Innovation
Credit Direct’s recent digital transformation has laid the groundwork for faster, more accessible lending solutions across the country. With this fresh injection of funds, the company is poised to accelerate its service delivery and increase its footprint among Nigeria’s underserved populations.
The proceeds from this CP issuance will be strategically deployed to support Credit Direct’s lending operations, product development, and innovation in customer engagement, ultimately empowering more individuals and small businesses with access to convenient, reliable credit.
Leadership Speaks: Confidence and Gratitude
Mr. Ladi Balogun, Chairman of the Board of Directors at Credit Direct, expressed his appreciation for the investor community’s trust, stating:
“The positive response from the institutional investor community is recognition of the company’s track record in risk management, corporate governance, and financial performance, as well as the important role it plays in the financial ecosystem. Credit Direct has been a consistent beacon of hope for over 1.7 million customers, previously excluded from accessing credit in such a convenient manner.”
Echoing this, Mr. Chukwuma Nwanze, Managing Director of Credit Direct, highlighted the importance of this achievement:
“We are immensely proud and grateful for the overwhelming response from the investor community. The oversubscription indicates the strength of Credit Direct’s reputation in the financial market and underscores the company’s sound financial health. This maiden issuance not only empowers us to further our goals but also reinforces our commitment to being a key player in Nigeria’s financial landscape.”
He added that the company is committed to deploying the proceeds prudently while ensuring optimal returns for all stakeholders.
“As Credit Direct continues its brisk expansion, serving millions nationwide, we are determined to utilize these funds judiciously and ensure optimal returns for our stakeholders. We also thank FMDQ for their role in this transaction and all the dealers and investors who contributed to the success of our debut launch.”
Strategic Collaborations for a Seamless Execution
The success of the issuance is not just a reflection of market confidence but also the result of strategic collaboration. FCMB Capital Markets Limited acted as Lead Arranger and Dealer, while CardinalStone Partners Limited and United Capital PLC also played critical roles as dealers in the transaction. Their joint expertise and coordinated execution ensured the process was smooth, transparent, and well-received by the market.
Advancing Financial Inclusion in Nigeria
Credit Direct has long championed the cause of financial inclusion. Since its inception in 2006, the company has impacted over 1.7 million lives across 25 states, providing consumer and working capital loans to individuals, traders, and small businesses often excluded from traditional financial systems.
The company’s deep understanding of Nigeria’s lending landscape, coupled with its technology-driven approach, has helped simplify access to credit and support upward financial mobility for a broad demographic of customers.
With this new funding milestone, Credit Direct plans to continue scaling its impact, empowering more Nigerians with tools and resources to unlock opportunities and improve their quality of life.
About Credit Direct
Credit Direct Finance Company Limited is Nigeria’s foremost non-bank consumer lending company, licensed by the Central Bank of Nigeria (CBN) as a Finance House. Founded in 2006, Credit Direct has consistently demonstrated its leadership in responsible lending, innovation, and inclusive finance.
As a wholly owned subsidiary of the FCMB Group, the company offers a range of loan products tailored to meet the needs of working Nigerians and small business owners. Credit Direct remains committed to responsible financial practices, strong corporate governance, and continuous improvement in customer satisfaction.
This successful commercial paper issuance represents more than just a funding milestone. It is a strong endorsement of Credit Direct’s trajectory as a trusted and resilient financial institution. As the company continues to evolve, it remains focused on fostering inclusive access to finance and driving sustainable economic empowerment across Nigeria.
