LAPO Microfinance Bank has launched a N10 billion 5-year fixed-rate senior unsecured bond under its N30 billion Debt Issuance Programme, marking a strategic move to leverage Nigeria’s domestic capital markets for growth and financial inclusion initiatives.
The bond, issued through LAPO MFB SPV Plc, opened on March 23, 2026, and will close on April 1, 2026. The fixed-rate coupon will be paid semi-annually, with the principal due at maturity. Investors can subscribe to a minimum of N20 million (20,000 units at N1,000 per unit), with additional multiples of N1,000 allowed.
Key terms of the Series 1 bond include:
Tenor: 5 years
Price Range: 19.00% – 20.00% p.a., finalized post-book build
Redemption: Bullet repayment at maturity
Coupon: Fixed rate, semi-annual payments
Credit Rating: BBB- (Agusto & Co.) / BBB- (GCR)
Use of Proceeds: To support financial inclusion, particularly expanding access to services for small businesses and underserved communities
Assuming an average coupon of 19.50% per annum, a minimum N20 million subscription would yield N3.9 million annually, split into two equal semi-annual payments.
Founded in 1987, LAPO Microfinance Bank operates across 34 states and the Federal Capital Territory, providing tailored financial solutions for micro, small, and medium enterprises (MSMEs) and low-income households. The bond issuance is part of LAPO MFB’s strategy to fund expansion and strengthen its role in promoting inclusive financial access in Nigeria.
