BAS Capital Leads ₦20bn Commercial Paper Issuance for Sycamore Integrated Solutions
Nigeria’s debt capital market continues to witness increasing activity as companies turn to structured instruments to finance growth and working capital needs. In a recent development, BAS Capital Limited has led a ₦20 billion Commercial Paper (CP) Programme for Sycamore Integrated Solutions Limited, a fast-growing Nigerian financial technology company focused on expanding access to credit for individuals and businesses.
The programme marks another significant transaction in Nigeria’s short-term debt market, offering institutional investors an opportunity to participate in a structured financing arrangement while enabling Sycamore to strengthen its operational liquidity.
Overview of the Commercial Paper Programme
The ₦20 billion commercial paper programme is structured to allow Sycamore to raise funds from the Nigerian capital market through multiple series and tranches over time. Under this programme, the company has announced the pre-opening of a ₦3 billion Series 1 issuance, which will serve as the first tranche of the broader funding initiative.
The Series 1 issuance opened to investors on March 9, 2026, and will close on March 20, 2026, providing qualified investors access to a short-term fixed-income instrument that supports Sycamore’s working capital requirements.
Commercial paper instruments are widely used in Nigeria’s capital markets as a flexible financing option for companies. Unlike traditional loans, they allow corporations to raise short-term funding directly from institutional investors such as pension funds, asset managers, and insurance companies.
Structure of the Series 1 Issuance
The inaugural ₦3 billion Series 1 commercial paper is divided into two tranches, offering investors varying tenors and yield structures.
- Tranche A
Size: ₦1.5 billion
Tenor: 180 days
Discount rate: 21.4601%
Yield: 24.00%
- Tranche B
Size: ₦1.5 billion
Tenor: 270 days
Discount rate: 21.0983%
Yield: 25.00%
This structure provides flexibility for investors with different investment horizons, while enabling Sycamore to access funding aligned with its short-term financing needs.
The programme has also received credit ratings of BBB+ (long-term) and A2 (short-term) from Data Pro Limited, indicating a moderate credit risk profile and a strong capacity to meet short-term obligations.
BAS Capital’s Role in the Transaction
BAS Capital Limited is serving as Lead Arranger, Issuing House, and Placing Agent for the commercial paper issuance.
The firm is working alongside several other financial advisory and capital market institutions to execute the transaction. These include:
- AIICO Capital Limited – Joint Arranger and Issuing & Placing Agent
- Norrenberger Advisory Partners Limited – Joint Arranger and Issuing & Placing Agent
- Pathway Advisors Limited – Joint Arranger and Issuing & Placing Agent
Additional parties supporting the issuance include:
- FSDH Merchant Bank Limited – Collecting and Paying Agent
- Plethoria Trustees and Fiduciary Services Limited and Coronation Trustees Limited – Trustees
- Africa Law Practice NG & Co. – Solicitors
- Cardinal stone Registrars Limited – Registrars
The collaboration of these institutions underscores the growing sophistication of Nigeria’s debt capital market, where multi-party structures are commonly used to ensure transparency, regulatory compliance, and efficient distribution of securities.
Strategic Importance for Sycamore
For Sycamore Integrated Solutions, the capital raise represents a strategic move to expand its financing capacity and strengthen its position in Nigeria’s rapidly evolving fintech ecosystem.
Sycamore is a digital lending platform that leverages technology-driven underwriting models to provide flexible credit solutions for individuals and small businesses.
By accessing funding through the capital market, the company can diversify its funding base beyond traditional bank facilities and venture financing.
The proceeds from the commercial paper issuance are expected to be used primarily for:
- Working capital financing
- Expansion of lending operations
- Strengthening liquidity to support loan disbursements
- Enhancing operational efficiency
These objectives align with Sycamore’s broader mission of improving financial inclusion and enabling businesses to access affordable credit.
Strengthening Nigeria’s Commercial Paper Market
The transaction also reflects the growing role of the commercial paper market in Nigeria’s corporate financing landscape.
In recent years, Nigerian companies have increasingly adopted CP programmes as a cost-effective alternative to bank loans. These instruments offer several advantages:
- Shorter tenor financing suitable for working capital needs
- Flexible issuance structure through multiple series under a programme
- Access to institutional investors such as pension funds and asset managers
- Competitive pricing compared to traditional credit facilities
Industry analysts note that such transactions help deepen Nigeria’s capital markets by expanding investment opportunities and providing corporates with diversified funding channels.
BAS Capital’s Commitment to Capital Market Development
Commenting on the transaction, the Managing Director of BAS Capital emphasized that the issuance highlights the continued relevance of the Nigerian commercial paper market as a funding source for high-growth companies.
According to the firm, supporting innovative companies like Sycamore aligns with its broader objective of providing efficient capital market solutions for corporate growth and expansion.
BAS Capital specializes in financial structuring, capital raising, and advisory services across debt and equity markets, assisting corporations, government entities, and institutional clients in accessing tailored financing solutions.
Outlook for Investors and the Capital Market
For investors, the Sycamore commercial paper programme presents an opportunity to participate in a structured short-term investment instrument offering attractive yields within Nigeria’s fixed-income market.
At the same time, the programme reflects broader trends in Nigeria’s financial sector, where fintech companies are increasingly leveraging the capital markets to scale operations and improve access to financial services.
As investor appetite for well-structured debt instruments grows, more fintech and technology-driven companies are expected to explore similar funding avenues.
The ₦20 billion programme therefore represents not only a milestone for Sycamore but also a signal of the expanding role of capital markets in financing Nigeria’s digital economy.
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