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Projects, Capital, Companies and Policy

NBET Finance Company — NGN 501bn ($346.7m) Power Sector Bond

Country
Nigeria
Sector
Energy
Intelligence Type
Capital
Status / Stage
Active
Estimated Value
NGN Billion (~$346.7m) 501.02
Confidence
Confirmed

NBET Finance Company Plc — a special purpose vehicle backed by Nigerian Bulk Electricity Trading Plc — issued a combined NGN 501.02 billion Tranche A and Tranche B bond at 17.50% in H1 2026, advised by CardinalStone Partners (lead financial adviser and issuing house) and Africa Finance Corporation (co-financial adviser). Proceeds clear liquidity gaps across Nigeria’s power sector under the Presidential Power Sector Financial Reforms Programme. Named Deal of the Year (Debt) at the 2026 African Banker Awards.

Capital Details

Capital TypeBond
DateH1 2026
Investor / FinancierNigerian institutional investors (pension funds, insurance companies, asset managers)
Recipient / BorrowerNBET Finance Company Plc (SPV for NBET — Nigerian Bulk Electricity Trading Plc)
Purpose of CapitalClear liquidity gaps across Nigeria's power sector — payments owed to generation companies (GenCos) under the Presidential Power Sector Financial Reforms Programme
Financing StructureDual-tranche bond (Tranche A + B) listed on FMDQ Securities Exchange and NGX. Lead financial adviser: CardinalStone Partners. Co-financial adviser: AFC. Backed by NBET's bulk electricity purchase receivables.
Interest Rate17.50%

Market Significance

Single largest bond listing in Nigeria in H1 2026. Named Deal of the Year (Debt) at the 2026 African Banker Awards. First major instrument under the Presidential Power Sector Financial Reforms Programme to reach market.

Risk / Considerations

NBET's underlying receivables depend on DisCo collection rates — which are currently below approved tariffs across most of Nigeria's 11 distribution companies. If collections remain weak, the SPV's ability to service the bond faces pressure.

What Happens Next

Bond proceeds deployment to GenCos — clearing payment backlogs that have constrained gas supply to power plants.

Commercial Opportunity

Establishes a template for using capital markets to monetise power sector receivables — a model that could be replicated for DisCo and GenCo debt clearance.

Commercial Opportunity Intelligence

Commercial ReadinessCommercially Active

Analyst Notes

Link to Policy records: Nigeria Electricity Act 2023 and NERC CapEx Order NERC/2026/062.

Source & Verification Trail

Last VerifiedAugust 2026
Source(s)Nairametrics (July 22, 2026 — H1 2026 bond review); African Capital Markets News (June 10, 2026 — African Banker Awards); MEXC (February 5, 2026 — power bond analysis); AFC official
Source DateFebruary–July 2026