Three Nigerian agro-processors of various sizes have new bank financing totaling Naira 421,706,825 (about $1.35m) for equipment and working capital, thanks to facilitation by the Trade Hub and its financial advisors’ network.
Leading cereals processor Graceco Limited received a N350 million (about $1 million) debt facility from the Bank of Industry and Access Bank to finance the purchase of new equipment and additional working capital to scale up production. This food processing company specializes in consumer goods and the production of maize flour, ground rice and other inputs for bakers and the confectionary industry. With the new financing, GraceCo plans to raise sales from $6.3 million in 2016 to $10 million in 2018 and create an additional 150 jobs.
Mayor Farms, which produces chicken, eggs, meat and animal feed, received a N60 million ($190,000) enhancement facility from Nigeria’s FCMB Bank to purchase raw materials and new equipment for its animal-feed line.
“Our major cost of production is animal feed for the birds,” said Mayor Farms’ Managing Director Mr. Yemi Ogundei. “With new funding, we would be able to buy and store more raw material for production in order to remain competitive.’’
Woman-owned business Fair Deal produces poultry feeds—growers’ mash and broiler finisher—as well as sinking fish feed, and feed for rabbits, pets and ruminants; it also provides milling and grinding services to other companies. The company also received a loan of N7.4 million ($23,000) to purchase new equipment to automate its manual operations and scale up current production.
To facilitate the loans, the Trade Hub’s Finance and Investment Specialist, Mr. William Addo, worked with two Nigerian financial advisors, Pearl Mutual Consulting and HighNet Resources.