Geregu Power Plc has defaulted on its N40.09 billion Series 1 Senior Unsecured Bond, missing both its eighth semi-annual coupon obligation and its scheduled fourth principal bullet repayment, according to an updated listing status published by FMDQ Securities Exchange.
The default, which occurred on the bond's payment date, has raised fresh concerns among investors about the company's liquidity and financial health. Geregu Power, one of Nigeria's leading power generation companies, had previously assured stakeholders of its commitment to meeting debt obligations.
Analysts note that this default could impact the company's credit rating and its ability to raise future capital in the debt market. The bond, issued in 2022, was part of Geregu's strategy to refinance existing debt and fund expansion projects.
As of the latest available information, Geregu Power has not issued a public statement explaining the missed payments. The company's shares on the Nigerian Exchange may face selling pressure as investors react to the news.
