United Nigeria Airlines mentioned it intends to boost N20 billion by way of commercial paper, which it described as the primary of its sort by a home airline in Nigeria, because it seeks to strengthen its funds and fund growth.
The proposed issuance is the primary tranche of a N100 billion commercial paper programme, and can comprise two sequence with tenors of 270 and 364 days, in response to an announcement by the airline’s administration on Friday.
Commercial paper is a short-term debt instrument corporations use to boost funds for working capital and different enterprise wants. Unlike fairness financing, it includes borrowing that have to 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 businesses for the proposed issuance.
According to the airline, Agusto & Co. assigned it an A3 short-term ranking and a BBB- long-term ranking, each with a steady outlook. DataPro assigned the airline an A1 short-term ranking and a BBB long-term ranking.
The scores present buyers with an evaluation of the airline’s creditworthiness, though they don’t assure compensation or get rid of the dangers related to investing within the commercial paper.
The airline’s September 2026 investor presentation confirmed substantial development 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 growth 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 extra plane earlier than the top of the 12 months.
United Nigeria Airlines serves fourteen locations throughout Nigeria and Ghana, and mentioned it has secured approval to function as a flag provider to 6 worldwide locations.
The deliberate fleet growth is predicted to help its efforts to extend capability and lengthen its attain past the home market. However, the size and timing of the growth will rely upon the airline’s skill to safe the required financing, take supply of extra plane and meet relevant regulatory necessities.
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The airline has additionally taken steps to broaden its entry to worldwide journey distribution networks.
The firm says it has signed agreements with Amadeus and Sabre, methods 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 gives a framework for airways to cooperate on passenger bookings and connections throughout their networks.
In June, the airline grew to become 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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