With the N15 billion Series II offer scheduled to close on Friday, 10 June 2022, Stanbic IBTC Asset Management Limited, the Fund Manager and subsidiary of Stanbic IBTC Holdings PLC, has again called on interested investors to take advantage of the offer.

The Fund is designed to bridge the gap between the long-term funding needs of promoters of infrastructure projects and investors with long-term capital.

The Stanbic IBTC Infrastructure Fund, which is structured as a closed-ended collective investment scheme, seeks to provide competitive returns above the benchmark Federal Government of Nigeria bond yield of comparable tenor as the outstanding tenor of the Series II from time to time.

The Stanbic IBTC Infrastructure Fund Manager successfully closed its Series I offer in September 2021 and raised capital from a diverse group of investors, including Pension Fund Administrators, Asset Management Companies, Insurance Companies, and High Net-worth Individuals.

The proceeds of the Series I offer were deployed towards gas distribution value chain infrastructure and healthcare infrastructure.

“We encourage institutional investors to continue participating in the Stanbic IBTC Infrastructure Fund issuances as we proceed with the efforts to bridge the existing infrastructure asset gap through careful project selection that delivers positive social and economic multiplier effects” Dolu Olugbenjo, Chief Investment Officer, Stanbic IBTC Infrastructure Fund, said. He added that the fund aims to deliver competitive investment returns to investors within acceptable risk thresholds.

Dolu reiterated that the fund will be deployed to support infrastructure and infrastructure-related project opportunities in healthcare, transport, logistics, renewable energy, and power amongst others. Interested investors have been encouraged to go online and fill out the form and a representative will contact them within 72 hours.

The ceremony signified the official commencement of construction activities which is expected to be completed in December 2022.

Upon completion, the project will be the largest LPG storage facility in the nation and will ease some of the existing bottlenecks in the value chain for the supply of cleaner and more efficient energy for domestic use (cooking gas) in Nigeria, amongst other strategic benefits.

Olumide Adeosun, group chief executive officer, Ardova PLC, expressed his appreciation to Stanbic IBTC Infrastructure Fund for its commitment to the project and noted that the importance of having formidable partners for project development, planning, execution, and investment support cannot be overemphasised.

“We are pleased to have the support of the Stanbic IBTC Infrastructure Fund for its pioneering role in a transformational project within the LPG value chain, which will undoubtedly accelerate the various energy transition initiatives currently underway at Ardova PLC. This support has helped us commence construction of this 20,000 metric tonne LPG storage terminal, which is expected to bring efficiency and reliability of LPG supply to Nigerian consumers as well as create long term value for our shareholders; and for this, we are thankful”.

He noted further that “Beyond the cleaner energy premise, approximately 600 direct jobs will be created during the construction of the project and there is a multiplier effect of about additional 1,400 indirect jobs that will be created during the construction period after which it settles to about 250-300 jobs once the project becomes operational.

Oladele Sotubo, Chief Executive, Stanbic IBTC Asset Management, noted in his remark that “Across the globe, cleaner energy investments have continued to be the focus. Given the environmental sustainability benefits of this project, Stanbic IBTC Infrastructure Fund’s investment philosophy is properly aligned, hence the support for the 20,000 metric tonne Liquified Petroleum Gas (LPG) storage facility terminal”.

A portion of the first Tranche of the N100 billion Stanbic IBTC Infrastructure Fund, which closed in August 2021, was used to part finance the LPG storage terminal.

Sotubo went on to express his gratitude to Ardova for partnering with Stanbic IBTC Infrastructure Fund and used the opportunity to also commend all the Tranche 1 investors, including institutional investors such as Trustfund Pensions, Veritas Glanvills Pensions, NPF Pensions, Fidelity Pensions, Crusader Sterling Pensions, Agip CPFA, Progress Trust CPFA, AIICO Insurance, and other High Networth Individuals (HNIs), for the confidence reposed in the fund.

He pointed out the impact their investment is making in terms of solving some of Nigeria’s infrastructure bottlenecks, creating jobs while earning returns.

“As an organisation, we remain committed to bridging Nigeria’s infrastructure deficit through the provision of investment capital needed to develop projects”, he added”.

The Stanbic IBTC Asset Management Chief Executive highlighted that the Stanbic IBTC Infrastructure Fund remains dedicated to meeting the investment needs of its clients, providing them with the right investment vehicles, opportunities and professional investment services needed to achieve their financial objectives.

He urged institutional investors such as pension fund administrators, insurance companies and asset managers to explore the unique opportunities of the Stanbic IBTC Infrastructure Fund in meeting their long-term financial goals.

Stanbic IBTC Infrastructure Fund remains committed to funding infrastructure projects with competitive return profiles, sustainable environmental practices, and the potential to positively impact the economy.