Pathway Advisors leads N11.45bn Lekki Gardens commercial paper sale

Pathway Advisors Limited led the oversubscribed N11.45 billion commercial paper sale for Lekki Gardens Estate Limited, as strong investor demand prompted the issuer to increase the offering size.

The Series 2 issuance, originally set at N10 billion, was upsized after attracting significant participation from institutional and corporate investors, according to a statement seen by BusinessDay. The notes were issued under Lekki Gardens’ N25 billion commercial paper programme approved by the Securities and Exchange Commission in November 2025.

Pathway Advisors acted as lead issuing house, financial advisor, and transaction sponsor on the deal, reinforcing its role in arranging short-term funding for corporates navigating Nigeria’s tight credit environment.

The transaction underscores sustained appetite for commercial paper in one of Africa’s largest economies, where elevated benchmark rates have made short-tenor instruments attractive to investors seeking yield while managing duration risk.

For issuers, the commercial paper market has become a key alternative to bank loans amid high borrowing costs and cautious lending.

Adekunle Alade, founder and chief executive officer of Pathway Advisors, said the outcome reflected the firm’s capital-raising network and structuring expertise.

“The oversubscription underscores Pathway’s strong ability to mobilize capital from both institutional investors and high-net-worth individuals,” Alade said. “It also reflects our expertise in navigating complex regulatory environments and structuring effective capital solutions that enable our clients to achieve their funding objectives.”

Proceeds from the issuance will fund Lekki Gardens’ working capital needs and support the completion of ongoing housing developments, the company said.

Richard Nyong, managing director of Lekki Gardens, said the investor response highlighted confidence in the developer’s governance and execution record.

“The strong investor participation and oversubscription recorded in this issuance reflect the market’s confidence in Lekki Gardens’ business model, governance standards, and proven track record in delivering quality developments,” Nyong said. “This successful issuance further strengthens our capacity to accelerate the completion of our ongoing developments and pursue new growth opportunities.”

Director Emily Atebe added that the funds would back key projects and position the company for its next growth phase.

The successful placement adds to a pipeline of corporate debt sales in Lagos, as financial advisers deepen participation in Nigeria’s commercial paper market and corporates seek flexible funding to sustain expansion plans.