United Nigeria Airlines mentioned it intends to lift N20 billion by commercial paper, which it described as the primary of its form by a home airline in Nigeria, because it seeks to strengthen its funds and fund enlargement.
The proposed issuance is the primary tranche of a N100 billion commercial paper programme, and can comprise two collection with tenors of 270 and 364 days, in line with a press release by the airline’s administration on Friday.
Commercial paper is a short-term debt instrument corporations use to lift funds for working capital and different enterprise wants. Unlike fairness financing, it entails borrowing that should be repaid based mostly on agreed phrases.
According to the airline, the proposed issuance is a part of its technique to strengthen its monetary place whereas increasing operations throughout home, regional, and worldwide markets.
Meristem Capital Limited will function the lead arranger, whereas Cordros Advisory Services Limited, Coronation Merchant Bank Limited, FCMB Capital Markets Limited, FSL Advisory Limited and Quantum Zenith Capital and Investments Limited will act as sellers.
United Nigeria Airlines mentioned it has obtained credit score scores from two companies for the proposed issuance.
According to the airline, Agusto & Co. assigned it an A3 short-term score and a BBB- long-term score, each with a steady outlook. DataPro assigned the airline an A1 short-term score and a BBB long-term score.
The scores present traders with an evaluation of the airline’s creditworthiness, though they don’t assure reimbursement or eradicate the dangers related to investing within the commercial paper.
The airline’s September 2026 investor presentation confirmed substantial progress in its monetary efficiency over the previous 5 years.
Revenue rose from N10.3 billion in 2021 to N90.8 billion in 2025, whereas revenue after tax elevated from N1.3 billion to N23.8 billion over the identical interval.
The firm reported income of N95.6 billion within the first half of 2026.
It additionally mentioned turnover rose to N19.4 billion in August from N14.1 billion in July, and it recorded a web revenue of N1.2 billion in August.
The airline mentioned it expects its monetary efficiency to proceed bettering.
Fleet enlargement deliberate
The airline mentioned it presently operates ten plane, comprising Embraer ERJ-145s, Boeing 737-800s, Embraer E190S and CRJ900s, including that it plans to take supply of six further plane earlier than the top of the yr.
United Nigeria Airlines serves fourteen locations throughout Nigeria and Ghana, and mentioned it has secured approval to function as a flag service to 6 worldwide locations.
The deliberate fleet enlargement is anticipated to assist its efforts to extend capability and lengthen its attain past the home market. However, the dimensions and timing of the enlargement will depend upon the airline’s capacity to safe the required financing, take supply of further plane and meet relevant regulatory necessities.
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The airline has additionally taken steps to develop its entry to worldwide journey distribution networks.
The firm says it has signed agreements with Amadeus and Sabre, programs journey brokers and different journey service suppliers use to entry airline schedules and ticket stock.
In April, United Nigeria Airlines joined the International Air Transport Association’s Multilateral Interline Traffic Agreement, which supplies a framework for airways to cooperate on passenger bookings and connections throughout their networks.
In June, the airline turned a full member of the African Airlines Association, a continental physique that promotes cooperation and the event of Africa’s aviation trade.
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