Nigeria: Purple close to debt guarantee from InfraCredit as part of real estate IPO

By David Whitehouse
Posted on Friday, 25 November 2022 15:11

A housing project site at Life camp district in Abuja, Nigeria REUTERS/Afolabi Sotunde

Purple, the Nigerian real-estate company currently carrying out a stock market initial public offer (IPO), is close to securing backing from financial guarantee provider InfraCredit for the debt part of its fundraising, Purple CEO Laide Agboola tells The Africa Report.

The company is seeking to raise about N30bn ($68m), comprising N20bn in debt and N10bn in equity. The debt, which will be in two tranches of N15bn and N5bn, will be used to expand, while the equity from the IPO will be used to keep leverage down.

Talks with Infracredit are “close to closure,” Agboola says. The IPO, for which Kairos Capital is the lead issuer, opened on 21 November and runs until 23 December.