What investors can gain from TrustBanc’s N20bn commercial paper offering

TRUSTBANC Holdings Limited has launched a N20 billion Commercial Paper (CP) issuance, which forms part of its broader N100 billion Commercial Paper Programme. This move continues the bank’s engagement with Nigeria’s short-term debt market as it seeks additional funds to support its working capital requirements.

The offer opened on March 12, 2026, and will run until March 23, 2026, giving investors a window to participate in the programme.

The CP issuance consists of two series: Series 1: 268-day tenor, offered at a discount rate of 18.5687 percent, with an implied yield of 21.00 percent, and Series 2: 364-day tenor, offered at a discount rate of 19.0383 percent, with an implied yield of 23.50 percent.

The minimum subscription for investors is N5 million (5,000 units at N1,000 each), with additional units available in multiples of N1,000. The proceeds are intended to meet the company’s general corporate and short-term funding needs. TrustBanc’s issuer rating is A1 by DataPro.

READ ALSO: Investors gain N469bn as Nigerian equities extend rally

TrustBanc Holdings is a fully integrated financial services group with subsidiaries that cover fund management, wealth management, corporate finance, microfinance, and bureau de change operations. Key subsidiaries include:

DataPro recently upgraded the company’s long-term rating from ‘A’ to ‘A+’ with a stable outlook, reflecting the group’s creditworthiness.

Historical performance

TrustBanc initially registered a N10 billion Commercial Paper Programme with FMDQ Exchange in April 2021, which was later increased to N20 billion in May 2022. Across 18 prior series, the bank has successfully raised N33.09 billion, repaying N31.98 billion to investors.

The current Series 1 and 2 offerings fall under the N100 billion Commercial Paper Programme approved by the Securities and Exchange Commission (SEC) on December 13, 2025, with implied annual yields between 21.50 percent and 23.50 percent.

Financial performance, investment considerations

TrustBanc has demonstrated strong financial growth in recent years. Profits reached N1.4 billion in 2025, up 96 percent from 2024, with a compound annual growth rate of 66.48 percent over four years (2022–2025).

Interest income over the same period totalled N14.3 billion, with interest expenses of N9.3 billion, generating N5 billion in net interest income. In 2025 alone, net interest income nearly doubled to N2.5 billion from N1.3 billion in 2024.

On the balance sheet, total assets grew to N117 billion, largely driven by financial asset investments, which made up over 78 percent of total assets. Shareholders’ funds accounted for 21 percent of the total balance sheet.

READ ALSO: Investors trade N164bn stocks in five sessions as NGX turnover dips 10%

Boon for investors

The CP yields offered by TrustBanc (21.00 percent–23.50 percent) are significantly higher than comparable FGN Treasury Bills. The 364-day treasury bill yield was 16.72 percent in March 2026. This premium reflects the bank’s credit profile and prevailing market conditions.

With DataPro’s rating upgrades (long-term A+, short-term A1) and a strong record of profitability and repayment, the commercial paper could be attractive to investors seeking higher yields in the short-term debt market.