The offer runs for two tranches with different maturities and returns. Tranche A carries a tenor of 272 days with a discount rate of 18.53% and an implied yield of 21.50%. 

Tranche B runs for 364 days, with a discount rate of 19.53% and an implied yield of 24.25%.

The minimum subscription is N5 million, while additional investments come in multiples of N1,000. The offer closes on Monday, May 25, 2026, with the funding date set for Tuesday, May 26, 2026.

The company said proceeds will go into core operational needs and also listed inventory support and wider expansion plans. 

In its disclosure, it stated: “Proceeds from the issuance will be used for inventory financing, working capital optimisation, operational expansion, and broader mobility infrastructure development across Nigeria.”

United Capital Plc is the lead issuing house for the transaction. Cordros Capital Plc and Rand Merchant Bank act as joint issuing and placing agents. Wema Bank Plc, Access Bank Plc and Providus Bank serve as receiving banks.

Credit rating agencies assigned investment-grade ratings to the programme. DataPro Limited gave it an A1 short-term rating and an A long-term rating. Agusto & Co. assigned an A2 short-term rating and a Bbb long-term rating.

CIG Motors returned to the market after completing full redemption of its N10.2 billion Series 1 commercial paper. The company pointed to that repayment as part of its track record in meeting obligations and managing institutional funding.

Recent financial disclosures show revenue of N177.4 billion. Earnings before interest, tax, depreciation and amortisation stood at N35.3 billion. Profit after tax came in at N17.3 billion. These figures are part of the documentation supporting the new issuance.

Executives say the numbers reveal steady operational growth, pointing to expanding activity in vehicle assembly, mobility services and after-sales support.

Chairman Diana Chen described the transaction as a strong vote of confidence in both Nigeria’s economic outlook and the company’s long-term growth strategy.

Group Chief Financial Officer Ram Murugesan said the company’s financial performance shows a deliberate platform-building approach driven by disciplined leverage management and expanding operational capacity.

Gbadebo Adenrele also noted that the successful redemption of Series 1 strengthened the company’s position in the local capital market. He added that United Capital’s involvement in the Series 2 issuance followed CIG Motors’ execution record and financial discipline.

The fundraising is seen within a pattern in Nigeria’s commercial paper market. Corporate issuers have turned more to short-term debt as bank lending costs are high and liquidity stays tight.

In 2025, Nigerian companies raised more than N1 trillion through commercial paper programmes. Yields in that period generally ranged between 18% and 25%, reflecting inflation pressures and funding demand across sectors.

CIG Motors’ current pricing falls within that range. It also places the offer in line with other mid-tier industrial and manufacturing issuers competing for investor funds.

Ratings on the programme point to moderate risk with investment-grade status. That places it below top-tier corporates, but still within acceptable thresholds for institutional investors seeking yield.

The company’s operations include vehicle assembly, electric mobility solutions and transport services. Its structure reflects a drive toward integrated automotive services rather than import-heavy distribution.

In 2024, Lagos State Government, through IBILE Holdings Limited, entered a partnership with CIG Motors. The deal covered the acquisition of 5,000 vehicles for the Lagos Ride transport scheme, with an estimated value of $260 million.

The programme aims to modernise urban transport in Lagos and replace older vehicles across parts of the public mobility system. It also positioned CIG Motors more firmly inside state-backed transport infrastructure projects.

Nigeria’s automotive sector is operating under pressure from import tariffs on fully built vehicles. Foreign exchange volatility also affects spare parts costs and local assembly operations. Policy direction, however, continues to support local assembly and electric mobility.

CIG Motors’ model is within that policy direction. Its focus on assembly, mobility services and electric vehicle expansion aligns with government efforts to reduce import dependence and build local capacity in transport infrastructure.

The Nigerian fintech, which provides access to dollar-denominated assets, obtained the licence through its subsidiary, RV Fund Management Limited. With this approval, the company now operates fully within Nigeria’s capital market framework.

“This approval reflects months of rigorous review and engagement,” Eke Urum, Risevest’s co-founder, wrote in a message to users on Wednesday.

“We’re grateful to the Securities and Exchange Commission for the critical work they do in safeguarding Nigeria’s financial system and maintaining standards that protect investors. Strong regulation builds strong markets and strong markets build lasting wealth.”

The development follows a difficult period for the firm. In January 2025, the SEC warned Nigerians against investing through Risevest, saying the company did not hold the required licence to operate in the capital market. That warning triggered concerns among users and industry watchers.

At the time, Risevest said its Nigerian investment activities were protected through a trusteeship arrangement with Meristem Trustees Limited, an SEC-licensed trustee. It also relied on partnerships to provide services legally.

In September 2023, the company acquired Chaka, a licensed digital trading startup. That deal allowed Risevest to use Chaka’s regulatory status to offer Nigerians access to global securities.

However, the new SEC licence gives Risevest its own standing under Nigerian law, rather than operating through cover arrangements.

The Fund and Portfolio Manager licence is one of the strictest categories under SEC rules. Firms must show strong corporate governance, sufficient capital and effective compliance systems before approval.

The licence also comes after the Investments and Securities Act 2025, signed into law by President Bola Tinubu, which updated the country’s capital market laws and tightened oversight of investment service providers, including fintechs.

Risevest now joins other digital investment platforms that have secured regulatory backing. These include Bamboo and Trove, which earlier acquired an SEC-licensed broker-dealer as part of its compliance process.

The transition reveals a move towards formal regulation of fintech platforms that once operated in grey areas.

Retail participation in Nigeria’s capital market has also increased sharply. In July 2025, trades by retail investors rose by 88.07% month-on-month to ₦516.50 billion, equivalent to $384 million.

That growth reveals the growing demand for structured and regulated digital investment platforms.

Founded in 2019 by Eke Urum, Bosun Olanrewaju and Tony Odiba, Risevest builds curated portfolios of US stocks and global fixed-income assets. Users decide how much to invest, with returns tied to foreign markets.

In 2024, the company expanded beyond Nigeria by acquiring Hisa, a Kenyan investment startup, marking its entry into East Africa.

With the new licence in place, Risevest can now manage funds directly under Nigeria’s capital market law, ending months of suspense over its regulatory position.

Speaking during the Capital Market Committee (CMC) meeting in Lagos, where a new law was unveiled on Monday, the Minister stated that the capital market remains a significant part of Nigeria’s reform agenda as it not only provides funding for the private and public sector, but also enhances wealth creation and financial inclusion.

Wale Edun, represented by Dr. Doris Uzoka-Anite, minister of State for Finance, highlighted the transformation in the market since 2015 driven by improved governance structure, stronger regulatory environment, and growing investor participation.

Edun said the new Investment and Securities Act (ISA) 2025 modernises the legal and regulatory framework, streamlines enforcement mechanisms, and caters to emerging sectors like digital assets and crowdfunding.

The new law is expected to build on the success of the Capital Market Master Plan (2015-2025), which has played a crucial role in increasing the market’s contribution to the economy as the revised plan prioritises digitisation, innovation, and sustainability, that aligns with the country’s reform agenda.

He stated that the new law will help deepen market participation while creating an enabling environment for businesses to thrive.

Dr. Emomotimi Agama stated that the enactment of ISA 2025 signifies the start of a transformative era.

He stressed the commission’s commitment to ensuring an adequate understanding of the new law, engaging with stakeholders, and driving innovation and compliance.

Agama stated that the commission has set up an implementation team to comprehensively review every provision of the new law, as well as a sensitization team aimed at broadening public understanding of the new law.

He reiterated the commission’s commitment to enhancing transparency and fostering growth in the capital market.

Nigeria, as the most populous country in Africa, faces the challenging issue of widespread poverty. With a significant portion of the population living below the poverty line, poverty alleviation has become a critical concern for the nation.

In all, various solutions have been proffered to ameliorate this trend, one of which is the role of Nigeria’s capital market in addressing poverty and improving socioeconomic conditions.

Delving into the potential of the capital market as a catalyst for poverty reduction, there is need to examine various initiatives and strategies employed to alleviate poverty through the market, analyzing the challenges faced, and highlighting successful case studies.

Additionally, there is need to discuss the crucial role of the government in promoting poverty alleviation via the capital market, along with recommendations for enhancing its impact.

It is expected that by understanding and harnessing the power of the capital market, Nigeria can make significant strides towards reducing poverty and fostering sustainable development.

No doubt poverty is a pressing issue in Nigeria, affecting a significant portion of the population. It is characterized by inadequate access to basic necessities such as food, shelter, healthcare, and education. According to recent statistics, about 40% of Nigerians live below the poverty line, struggling to make ends meet on a daily basis.

Addressing poverty in Nigeria is of utmost importance for several reasons. Firstly, it is a matter of social justice and human rights.

Every individual deserves the opportunity to live a dignified life, free from the hardships imposed by poverty. Secondly, poverty reduction is essential for sustainable economic development.

By empowering the impoverished population, we can unlock their potential, creating a more vibrant and prosperous society for all.

The goals of poverty alleviation efforts in Nigeria are multi-faceted in the sense that the aim is to provide immediate relief to those living in extreme poverty while ensuring their basic needs are met.

Also efforts will be directed towards creating opportunities for income generation and economic empowerment.

The Nigerian capital market refers to the platform where individuals and institutions can buy and sell various financial instruments, such as stocks, bonds, and mutual funds. It provides a means for businesses to raise capital, facilitating economic growth and development. The capital market is regulated by the Securities and Exchange Commission (SEC) and operates through organized exchanges, such as the Nigerian Stock Exchange,  now Nigerian Exchange Group (NGX).

The Nigerian capital market involves various participants and stakeholders. This includes investors who provide the necessary capital by purchasing securities, listed companies that issue the securities, stockbrokers who facilitate the buying and selling of securities on behalf of investors, and regulatory bodies like the SEC and NGX that ensure transparency and enforce regulations.

By offering a diverse range of financial instruments and products like stocks, which represent ownership in a company and provide potential for capital appreciation and dividends, the Nigerian capital market also have bonds, which are debt instruments issued by the government or corporations, offering fixed interest payments over a specified period. In addition there are  mutual funds, real estate investment trusts (REITs), and exchange-traded funds (ETFs) are popular investment options available in the capital market.

But how does all these impact poverty alleviation in a country like Nigeria? The capital market has the potential to play a crucial role in poverty reduction by providing avenues for investment and wealth creation, that can stimulate economic growth and job creation, which are vital for lifting individuals and communities out of poverty.

Chiedu Okeleke, Co-founder/CEO, Neulogic Solutions Limited – Business Software Solutions Architects, and a leading authority in the automation of the Nigerian Stock market, on his take on the issue of how the Capital market can play a role in poverty alleviation said:

“If all things go well, the capital market can sure help in reducing poverty and fostering sustainable development. Investors, especially in the long term, can reap significant dividends and capital appreciation from their investments.

However, the opposite can happen if investments deteriorate or fail completely. Recall a couple of years ago when many people who invested in banks like Bank PHP completely lost all their investments, and that increased, rather than reduced poverty”.

Moreover, the capital market facilitates the efficient allocation of resources, directing funds towards productive sectors that have the potential to generate income and improve living standards.

It is noteworthy that Investment and wealth creation are essential components of poverty alleviation. When individuals and businesses invest in the capital market, they contribute to the funding of productive projects and enterprises.

This, in turn, leads to job creation, increased productivity, and higher incomes. As people accumulate wealth through their investments, they have the opportunity to improve their quality of life, escape poverty, and contribute to community development.

For the capital market to be more impactful in the area of poverty alleviation, there’s need for inclusive access and participation in the capital market.

It is essential to ensure that all segments of society, including marginalized groups and individuals, have the opportunity to engage with the capital market.

This can be achieved through financial literacy programs, simplified investment procedures, the promotion of microfinance initiatives and technology-led ease of accessing the market.

Technology by and large, has the potential of widening access to the capital market, and in turn empowering more people to leverage its potential for economic advancement and poverty reduction.

On that issue of technology, Mr. Okeleke also said that “It has been very crucial in improving the operations of the capital market as the proliferation of internet and mobile technologies has made it much easier for investors to buy and sell in the market. Also, the back-end databases and related technologies ensure trade transactions are captured and processed efficiently”.

Infrastructure and technological barriers pose a greater challenge in utilizing the capital market for poverty alleviation.

Limited access to reliable internet connectivity, lack of adequate infrastructure, and limited technological literacy can make it difficult for individuals to engage with the capital market and access investment opportunities. These barriers need to be addressed to ensure inclusivity and equal opportunities for all.

In all, government can drive poverty alleviation through the capital market by implementing policies and programs that promote inclusive economic growth.

This includes providing incentives for businesses operating in sectors with high potential for job creation and income generation. Additionally, the government can establish funds and initiatives specifically targeted towards financing small and medium-sized enterprises (SMEs) and supporting entrepreneurship.

Additionally “continuous investors’ education and regulatory reforms will entrench transparency and accountability, there by deepening the capital market and improving economic development for the country”, said Okeleke.

Also the private sector has a crucial role to play by Companies contributing by adopting sustainable business practices, creating employment opportunities, and incorporating corporate social responsibility (CSR) into their operations as well as investing more in the technologies that’ll market market entry easier and more user-friendly.

They can also invest in impact-focused funds and support social enterprises that address specific poverty-related challenges.

Finally, when it comes to utilizing the capital market for poverty alleviation, there are several regulatory and legal hurdles that also need to be addressed. These hurdles can include stringent listing requirements, complex regulations, and bureaucratic red tape.

Additionally, there may be limitations on the types of securities that can be offered to the public, which can restrict the opportunities for raising capital.

Ejiofor Agada, a social/political and technology industry commentator, writes from Abuja (ejiofor.agada@gmail.com).