BUA Group to pursue emerging market opportunities with US$200mn finance facility

Africa Finance Corporation (AFC), a multilateral financial institution, has facilitated a US$200mn corporate finance facility for BUA Group to support its medium-term objectives by unlocking capital to pursue emerging market opportunities

BUA Group is a Nigerian conglomerate spanning food, infrastructure, mining and manufacturing sectors and will utilise the financial support to pursue its expansion plans, thereby boosting its industrial base and Nigeria’s export manufacturing capacity.

“The success of this transaction reflects the strength of AFC’s financial advisory expertise in providing top-tier strategic, corporate finance and technical guidance to leading institutions across Africa,” remarked executive director and head of financial services at AFC, Banji Fehintola. “We are proud to have played a central role for BUA in their continued expansion, driving local manufacturing, job creation and economic prosperity in Nigeria and Africa as a whole.”

Boosting Nigerian self-sufficiency

The financing was approved by Afreximbank in two tranches, the first US$150mn of which has been dispersed. It marks the second successful financial advisory mandate that AFC has closed for the BUA Group.

“With Afreximbank’s support, BUA can increase investments to strengthen industrial capacity and meet regional demand,” remarked Abdul Samad Rabiu, CFR, CON, chairman of BUA. “Our goal is sustainable growth that boosts Nigeria’s self-sufficiency and Africa’s global trade presence, creating jobs and building economic resilience.”

Kanayo Awani, executive vice president, Intra Africa Trade and Export Development, Afreximbank, added, “We are delighted at this partnership, which promises to deliver significant impact through job creation, import substitution, and export diversification – thereby boosting Nigeria’s Gross Domestic Product (GDP).”