TheCable

The Nigeria Sovereign Investment Authority (NSIA) has paid $417.46 million to Nigeria Bulk Energy Trading Company (NBET) to develop the electricity market.

Titilope Olubiyi, NSIA communications adviser, said this followed the expiration of a four-year investment agreement terms.

The funds were transferred in three tranches with $8m paid on May 2016, $5.5m in August 2016 and the last on July 2018 with $403.96m.

“The returned funds consist of the principal of $350 million allocated to the NSIA from the proceeds of the $1 billion Eurobond issued by the Federal Government of Nigeria in July 2013 under a fund management agreement and the sum of $67.46 million (net of fees) as interest and earnings over the investment period,” Olubiyi said in a statement.

Uche Orji, managing director of NSIA, said the authority had accomplished its goal of “enhancing NBET’s liquidity position while enabling the company to focus on its principal function of developing the electricity market.

NSIA’s role as fund manager helped to safeguard NBET’s capital against market volatility and also conferred the agreed financial benefits on the company.”