Axxela Announces Long-term Issuer, Issue Ratings Upgrade from BBB+ to A-(NG)

Axxela Limited (“Axxela”), one of Sub-Saharan Africa’s leading energy solutions provider today announced that Global Credit Ratings (GCR) has upgraded its National Scale Long-Term Issuer rating to “A-(NG)” and affirmed the Short-Term Issuer at “A2(NG)”, with a Stable Outlook.

The company in a statement said it has also received an upgraded National Scale Long Term Issue rating for its ‘’Axxela Funding 1 Plc’s N11.5bn Series 1 Senior Secured Fixed Rate Bonds’’ from “BBB+” to “A-(NG)(EL)’’, with the Outlook accorded as Stable.

On its part, GCR said the ratings upgrade is underpinned by Axxela’s established market position which has enabled the company and its subsidiaries to continue to report strong earnings and cash flows, thereby supporting comfortable credit protection metrics despite ongoing expansion.

Speaking on the upgrade, Bolaji Osunsanya, CEO, Axxela said, “We are pleased at the rating upgrades as they are a further confirmation of our market leadership position. Our continued growth and business expansion despite the challenges of a pandemic year is proof of a resilient business model’. We will continue to strengthen our operations in order to remain competitive across all key markets whilst delivering value to all key stakeholders including investors and shareholders.

“The upgraded rating is supported by Axxela’s competitive position in the energy sector, with its product offering spanning the natural gas value chain: processing, transmission & distribution, power generation and energy infrastructure development, and with operations across Nigeria and West Africa.”

The Chief Financial Officer, Timothy Ononiwu stated, ‘’This upgrade represents a positive milestone for us as an organisation. It is the result of hard work, professionalism and consistent focus on business efficiency, financial stability and deep commitment to operational excellence. Recognition of this nature propels us for the future.”