United Nigeria Airlines Company Limited (United Nigeria) is targeting to raise up to N20 billion as its Series 1 and Series 2 Commercial Paper (CP) issuance is now open.
The CP issuance is under United Nigeria Airlines Company Limited N100 billion Commercial Paper issuance programme.
The CP issuance which opened on October 13 will close on October 20. The net proceeds will be utilised to support the company’s short-term working capital needs and funding requirements
The company’s stellar performance is evident in its financials. United Nigeria has grown its revenue from N10.3 billion in FY’2021 to N90.8 billion in FY2025, representing a circa 72 percent Compound Annual Growth Rate (CAGR).
Profit after tax (PAT) increased from N1.3 billion to N23.8 billion over the same period. In FY’2025, revenue grew by 61 percent, while gross profit margin expanded from 19 percent to 38 percent, as revenue growth outpaced the increase in direct costs.
The company’s balance sheet has also remained strong and grown over the years. Total assets increased from N6.23billion in FY2021 to N67.16billion in FY2025, representing an 81.19 percent CAGR and total equity increased by N1.82billion to N39.04billion over the same period (115.31 percent CAGR).
The growth in the Company’s financial performance has been driven by the expansion of its core operations. The operational expansion is evidenced by the Airline’s increase in total flights from 6,853 in the company’s first year of operations (2021) to 18,393 in 2025, while annual passenger traffic tripled from 212,373 passengers in 2021 to 637,670 passengers in 2025.
Read also: Soaring airfares: United Nigeria Airlines demands urgent tax cut
Incorporated in 2008 and commenced commercial operations in 2021, United Nigeria Airlines Company Limited has since built a growing domestic aviation platform, connecting major commercial centres and underserved destinations across Nigeria.
Since the commencement of operations, United Nigeria has grown both in its fleet size and routes.
The company is currently the second largest airline in Nigeria, controlling a fleet of 10 aircraft across four aircraft types: Embraer ERJ-145, Boeing 737-800, Embraer E190 and CRJ900.
This includes aircraft that are owned by the company and those on ACMI (wet-lease). United Nigeria currently operates a network across 13 locations in Nigeria, covering the Southeast, Northwest, and parts of the Southwest and North Central regions. In November 2025, the airline commenced regional operations to Accra, Ghana, marking its first major step on its regional expansion journey.
Building on this growth, United Nigeria is entering its next phase of expansion, supported by the acquisition of two Boeing 737-800 aircraft and plans to further expand its fleet, increase flight frequencies and deepen its regional footprint.
Further supporting the Issuer’s credit profile, United Nigeria is rated A1/BBB with a Positive Outlook by DataPro and A3/BBB- with a Stable Outlook by Agusto & Co., reflecting independent assessments of the Company’s creditworthiness.
The next phase of expansion and growth which the company is commencing also comes with more intensive working capital requirements. To this end, the company is happy to launch its debut commercial paper issuance.
The airline is also working towards commencing international operations, subject to the receipt of the requisite regulatory approvals, on approved routes to the United Kingdom, United States, Canada, Turkey, Italy, and the Netherlands.
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Iheanyi Nwachukwu, is a creative content writer with over two decades journalism experience writing on banking, finance, capital markets, and tax. The multiple awards winning journalist is Deputy Editor, BusinessDay. Iheanyi holds BSc Degree in Economics from Imo State University; Master of Science (MSc) Degree in Management from University of Lagos. Iheanyi has attended several work-related trainings including (i) Advanced Writing and Reporting Skills (Pan African University, Lagos); (ii) News Agency Journalism (Indian Institute of Mass Communication {IIMC}, New Delhi, India); and (iii) Capital Markets Development and Regulations (International Law Institute {ILI} of Georgetown University, Washington DC, USA). Other trainings Iheanyi attended include: Economic/Political Risk Analysis (By Thomson Reuters Foundation); International Financial Journalism (IFJ) (By PMA Media Training, UK); Effective Business Writing Skills (By Phillips Consulting); Reporting on Corporate Governance (By International Finance Corporation (IFC) & Thomson Reuters Foundation UK); etc. In addition, he has participated in high-level economy & markets events in Dubai, South Africa, Morocco, and other African countries like Zambia, Ghana and Gambia.
