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Africa Finance Corporation (AFC), one of the continent’s leading infrastructure solutions providers, announced Tuesday that it has facilitated a $200 million corporate finance facility for the BUA Group (BUA), a prominent Nigerian conglomerate spanning food, infrastructure, mining and manufacturing sectors.

The facility, provided to BUA Industries Limited by the African Export-Import Bank (Afreximbank), marks the second successful financial advisory mandate that AFC has closed for BUA. AFC said this reaffirmed its commitment to driving impactful transactions that advance sustainable development and economic growth across Africa.

“The financing, approved by Afreximbank in two tranches, supports BUA’s medium-term objectives by unlocking capital to pursue emerging market opportunities,” AFC said in a statement. “The first tranche of US$150 million has been disbursed, enabling BUA to accelerate growth initiatives across its diverse portfolio, which includes sugar and cement production, flour milling, oil processing, real estate development, oil and gas, shipping and ports.”

AFC said its partnership with BUA has been integral to several key projects, including its advisory role in the financing of BUA’s 20,000 hectares integrated sugarcane plantation and sugar production facility in Kwara State in 2021. This project is helping to significantly reduce Nigeria’s dependency on imported sugar raw materials while fostering job creation and stimulating economic activity.

“We are pleased to conclude the successful raise of the loan facility with Afreximbank,” said Kabiru Rabiu, Group Executive Director at BUA Industries Limited. “This partnership underscores the confidence that leading financial institutions, like AFC and Afreximbank, have in BUA Group’s growth strategy. The funding not only validates our strong growth prospects but also positions us to better capitalise on emerging opportunities.”

In addition to advising on the BUA transaction, AFC has supported a diverse range of high-impact projects on the continent in recent years. This includes advising FGN Power Company Limited, the Nigerian government’s implementation vehicle for the Presidential Power Initiative (PPI), focused on improving power infrastructure in the country, and providing strategic guidance to the International Finance Corporation and the Nigeria Sovereign Investment Authority in developing sustainable, climate-positive financing solutions for Nigeria’s electricity distribution sector.

AFC said it provided advisory services for 24 projects totalling over $18 billion in value in 2023.