Nigeria has raised a $1.250billion seven-year Eurobond in the International Capital Market (ICM).

Debt Management Office (DMO) announced in a statement Thursday night that the Eurobond offer was launched at an initial price of 8.75 per cent per annum,  adding that on the back of strong investor demand, Nigeria was able to revise the price guidance to 8.5 per cent per annum.

According to the DMO, the Order Book continued to grow, reaching a peak of $4 billion. 

The Order Book included many quality investors in the United States, Europe and Asia. “With this strong investor interest, the price was tightened to 8.375% per annum, the Order Book still remained high at USD 3.676 billion and retained the quality investors.

“Nigerian investors also participated in the Offer with a total subscription of USD60 million.

”Proceeds of the Eurobond will be used to finance critical capital projects in the Budget to bridge the deficit in infrastructure and strengthen Nigeria’s economic recovery.

“Equally important, it would contribute directly and in full to the level of Nigeria’s external reserves,” the DMO said.