The Nigerian Stock Exchange has approved the Listing of Primero BRT Securitization SPV Plc’s N16,500,000,000 Series 1, 17% Fixed Rate Bonds Due 2026. The bond is listed under the N100,000,000,000 Medium Term Bond Program via Offer for Subscription. 

Dunn Loren Merrifield Advisory Partners; Greenwich Trust Limited; and SCM Capital Limited advised on the deal. 

The company aims to use the funds raised from the sale of the bonds to finance its operations. Primero Transport Services Limited provides transportation services for Lagosians under its Bus Rapid Transport scheme (BRT). The company set up a Special Purpose Vehicle “SPV” Primero BRT Securitization SPV Plc which raised the bonds on its behalf. By listing the bond on the Nigerian Stock Exchange, investors can buy and sell it at a market-determined price.  

Plans of listing: In a chat with Nairametrics earlier in the year, the CEO of the company Fola Tinubu revealed the company has gone from a monthly revenue of N50 million in 2015 to more than N600 million in 2017. The average income generated per month is currently estimated at N1 billion. Tinubu also revealed that plans were underway to list the company’s shares on the Nigeran Stock Exchange in 2 years’ time. 

“Do we want to be quoted on the Nigerian Stock Market? Yes. We will be going to the Nigerian Stock Exchange probably by the end of next year. This is because the rule is that you need to have been in operation for four years before you can go to the market so that people will know your track-record and see what you’ve done and how you’ve done it. So, by the third quarter of 2019, we will be preparing to go to the market. And hopefully, by the first quarter of 2021, we will be quoted on the Nigerian Stock Exchange.” 

Primero Transport Services commenced operations in 2015 and has over 400 buses plying several routes in Lagos. The company informed Nairametrics of plans to increase its fleet of buses by 300 and to 2000 in Lagos in the next few years. It is also exploring plans to expand operations to other states in the country.