The UK’s MOBILIST programme has sold its shares in Nigeria’s infrastructure credit guarantee company, (InfraCredit), to five local pension funds.

The transaction is expected to deepen domestic participation in financing the country’s infrastructure projects.

Announcing the exit on Monday, UK’s Foreign Commonwealth & Development Office (FCDO) said the transaction marks the largest secondary deal in InfraCredit’s shares since the company was listed by introduction on the NASD OTC Exchange in April 2025.

While the new investors were not mentioned, it said the sale allowed five institutional investors, including pension funds and insurers, to acquire equity in the company, with four of them joining as shareholders for the first time.

Commenting on the deal, British Deputy High Commissioner in Lagos, Jonny Baxter, said the transaction reflects the UK’s focus on “transformational investments that unlock commercial markets,” describing InfraCredit as a success story now being driven by Nigerian capital.

According to him, InfraCredit has facilitated over N300 billion in financing for infrastructure projects nationwide, equivalent to more than $500 million at issuance value.

“We’re excited to see this momentum continue to grow, driven increasingly by domestic capital and delivering strong returns to Nigerian investors. A win-win where more infrastructure is built to support Nigerian businesses, and more value returned to Nigerian stakeholders,” he said.

InfraCredit CEO, Chinua Azubike, called the deal “a proud milestone” that validates the company’s long-term vision of transitioning from foreign catalytic capital to sustained local institutional ownership.

“We are delighted to welcome four new Nigerian pension funds to our ownership base,” he said, noting that the growing domestic confidence reflects the maturity of Nigeria’s capital markets.

MOBILIST’s Programme Lead at FCDO, Ross Ferguson, added that the successful exit demonstrates how development finance can “generate impact beyond an initial investment” by recycling capital and strengthening liquidity in public markets.

InfraCredit continues to benefit from partnerships with British International Investments (BII), Financial Sector Deepening Africa (FSDA), the Private Infrastructure Development Group (PIDG), and FCDO-Nigeria, all of which have provided technical assistance and catalytic funding to de-risk local investment in green infrastructure.

The UK government reaffirmed its commitment to supporting Nigeria’s capital market development through MOBILIST’s ongoing collaboration with the Nigerian Exchange (NGX), aimed at driving sustainable investment via new listed products and public offerings.

InfraCredit is Nigeria’s only domestic credit guarantor, providing Naira-backed guarantees that help reduce investment risks and enhance the creditworthiness of infrastructure debt instruments. Its guarantees enable pension funds and other institutional investors to invest in long-term infrastructure financing.

The UK’s FCDO, through the MOBILIST programme, had initially invested N9.5 billion ($6 million) during InfraCredit’s listing, which helped the company raise N27 billion ($17.7 million) in total.

The fresh sale of MOBILIST’s stake has now boosted local ownership, giving Nigerian pension funds over 27% control of InfraCredit’s ordinary equity.