Zeenab Foods Limited, a leading food processing and agro-commodity trading company in Nigeria, has successfully raised N10.22 billion through its Series 4 Commercial Paper Issuance under its N20.00 billion Commercial Paper Programme.
The offer, initially set at N10.00 billion was oversubscribed due to strong investor demand.
The series 4 CP, with a 270-day tenor, offered a yield of 26.50% attracting a diverse range of investors. The strong investors’ demand for the CP not only illustrates the robust confidence of the market in Zeenab Foods Limited but also underscores the company’s unwavering commitment to excellence and growth.
In a statement, the Managing Director/CEO of Zeenab Foods Limited, Dr. Ayemere O. Victor, stated: “The success of this issuance is a testament to the strength of our diversified business model, market reputation, and creditworthiness. My sincere appreciation to the Pension Fund Administrators (PFAs), Asset Managers, Insurance firms, and other institutional investors for their continued trust in Zeenab Foods Limited. These funds will be strategically utilized to fund the company’s working capital needs, ensuring continued operational efficiency and sustained business growth. Also, thanks to Pathway Advisors Limited, our Financial Adviser, Transaction Sponsor, and Lead Arranger, for their pivotal role in the successful execution of the transaction.”
Commenting on the transaction, Mr. Adekunle Alade, Managing Director/CEO of Pathway Advisors Limited, said: ‘’We are proud to have supported Zeenab Foods Limited on another successful CP issuance. The oversubscriptions of this issuance reflect strong investors’ confidence in Zeenab Foods Limited’s financial performance, corporate governance, and creditworthiness. We thank the Board and Management of Zeenab Foods Limited for entrusting us with this transaction.’’
He also highlighted the company’s impressive track record, noting the recent successful redemption of its N3.43 billion Series 1 (Tranche B) and Series 2 (Tranches A & B) Commercial Papers. The CPs matured in March and April 2025, respectively, and the company fully repaid all subscribers ahead of their respective due dates.
Mr. Alade reaffirmed Pathway Advisors Limited’s commitment to supporting credible companies to access short and long-term funding from the Nigerian capital market.
About Zeenab Foods Limited
Zeenab Foods Limited is a food processing and agro-commodity trading company established in 2011. Zeenab Foods operates three main business segments, namely:
- Milling of Rice Paddy: The rice mill has an installed milling capacity of 120 metric tonnes (MT) per day. The Company plans to double its current rice milling capacity by Q3 2025 to grow its share of the rice market in Nigeria.
- Export of processed and packaged agro commodities, including Dried Split Ginger, Cassia Tora, Sesame Seeds, Cashew Nuts, Peanuts, Cassava Chips, and Gum Arabic, to China and other countries.
- Food Supply Contracts: Zeenab Foods supplies grains and other agro-commodities to international donor agencies to support various humanitarian aid projects. These include Beans, Sorghum, Millet, Maize, etc.
The Company’s operation is focused on value addition and the processing of farm produce. The key inputs to this process include Rice paddy, unprocessed beans, millet, sorghum, and ginger, among others, which are sourced through aggregators and direct off-take agreements with farmers.
ZFL owns two factories located in the Federal Capital Territory (Abuja) and Kano State. The company was also appointed as the operator of the Nigerian Export Trade House in the China / Far East region by the federal Government through the Nigerian Export Promotion Council’s export expansion facility program. Zeenab Foods commissioned a liaison office in Lagos to drive export volumes.
Zeenab Foods Limited has been rated “A” and A+ by Agusto & Co and DataPro Limited, respectively.
