The Ghanaian firm Quantum Terminals Group (QTG ) is to raise $10 million through the London Stock Exchange.
This is the first tranche of a planned $29 million bond programme by the company. The bond according to analysts is the first local currency corporate bond from Ghana and West Africa on the London Stock Exchange.
A statement released by the London Stock Exchange said the bond is guaranteed by GuarantCo, to support the operations of its liquid petroleum gas (LPG) storage business.
In May 2018, the bond was listed on the Ghanaian Stock Exchange as the first corporate and first 10-year tenor bond issued by a non-financial institution on the Ghana Fixed Income Market.
It has a 75 percent partial credit guarantee from GuarantCo, the guarantee arm of the Private Infrastructure Development Group (PIDG).
The bond’s innovative nature and ability to strengthen capital markets in Ghana is in line with GuarantCo’s vision to support local currency financing for infrastructure projects in lower income countries to assist with the alleviation of poverty.
The statement further revealed that the bond issuance will have significant demonstrative effect in the operations of QTG which is a major player in the energy sector.
The listing of the bond on the London Stock Exchange was witnessed by UK’s Minister of State for Africa and International Development, Harriett Baldwin, Ghana’s High Commissioner to the United Kingdom and Ireland Papa Owusu-Ankomah, and Executive Director of Quantum Terminals Group Emmanuel Egyei-Mensah.