MKH Properties’ Series 1 ₦10 Billion (US$7.5 Million) Commercial Paper Oversubscribed as Developer Records Strong Investor Demand

The fact that demand exceeded the ₦10 billion target makes the first series particularly significant for MKH Properties as it establishes its presence in a funding market that has increasingly become relevant to Nigerian property developers.

For MKH Properties, the successful close is not simply about meeting a capital target. It represents the first completed transaction under a programme designed to support the next phase of the company’s expansion.

Against this backdrop, MKH Properties’ Series 1 performance gives the company an important early outcome as it seeks to build a longer-term capital-raising strategy.

Dr Muibi Kehinde Hammed, CEO of MKH Properties, said the successful outcome was significant for the company.

The funds are being raised to support its expansion strategy and strengthen the company’s ability to execute its growing portfolio of developments.

MKH Properties currently has residential and commercial projects across Lagos and Ibadan , including MKH City, Chelmsford City, Dariann Court, The Legacy, The Wealthy Place and MKH Shopping Mall etc.

The company’s management has previously said the commercial paper programme is intended to expand the business and increase its capacity to undertake larger opportunities.

The successful close now places greater emphasis on execution, as investors and other stakeholders look to see how the capital translates into project delivery and business growth.

Dr Muibi Kehinde Hammed said the company recognises the responsibility that comes with the confidence shown by investors.

“We are grateful to every investor who participated in Series 1 and to everyone who has continued to invest in our existing projects. For us, raising the capital is only one part of the journey. What matters now is what we do with it. We intend to deploy the funds responsibly towards expansion and project execution, and we are committed to ensuring that our stakeholders see the results of that investment in the projects we deliver.”

The Series 1 outcome gives MKH Properties an early indication of investor appetite as it progresses under its ₦30 billion programme.

The company has previously indicated that it expects its future capital-market activities to support larger growth ambitions, with Dr Hammed stating at the programme signing that the company could return to the market for a larger amount in the future.

MKH Properties will continue to focus on project delivery, expansion and creating value for its existing customers and investors.

The company currently operates across Lagos and Ibadan and has allocated more than 1,000 plots across 12 estates, with a portfolio exceeding $50 million.

The successful close of Series 1 therefore represents an important point in the company’s growth journey, but the next measure of the programme will be its ability to convert access to capital into completed projects, expanded operations and sustained business growth.