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Johnvents Industries Limited is seeking to raise up to N80 billion through a commercial paper issuance to fund working capital requirements, including bulk purchases of cocoa as the main crop season begins.
The planned capital raise was contained in an email received by Nairametrics from CardinalStone Partners Limited, the financial services and investment banking firm advising on the transaction.
Johnvents, a Nigerian agribusiness involved in processing, manufacturing, distribution and export of agricultural commodities and consumer products, has cocoa as a significant part of its operations.
Johnvents targets cocoa working capital
CardinalStone said the N80 billion offer would be issued as Series 1 Tranche A and B under Johnvents’ N250 billion Commercial Paper Issuance Programme. The transaction is expected to provide additional funding for the company’s operations as it prepares for the main cocoa harvest season.
Johnvents said the proceeds would primarily be used to meet working capital needs, particularly the purchase of cocoa in bulk.
- “CardinalStone Partners Limited is pleased to announce that the Johnvents Industries Limited Series 1 Tranche A & B Commercial Paper Offer of up to N80 billion under its N250 billion Commercial Paper Issuance Programme is coming soon,” the firm said.
- “Johnvents intends to use the proceeds from this capital raise to fulfil working capital requirements, particularly for making bulk purchases of cocoa as the main crop season begins,” the company said.
Johnvents was incorporated in 2016 as an agricultural commodity aggregator before expanding into processing and other segments of the agricultural value chain, while its cocoa processing facilities in Akure and Ile-Oluji have a combined installed capacity of about 48,000 metric tonnes annually.
Johnvents expands debt market funding
The proposed N80 billion issuance would add to a series of debt-market transactions undertaken by Johnvents in recent years to finance its growing operations. It would also represent another expansion of the company’s commercial paper programme, with the latest umbrella programme now standing at N250 billion.
Johnvents has returned to the domestic debt market several times as its financing requirements have increased.
- In October 2024, the company raised N18.8 billion through its Series 10 and 11 commercial papers under a N30 billion programme, which was then its largest domestic debt-market capital raise.
- In December 2025, Johnvents completed a N30 billion commercial paper issuance under a N100 billion programme comprising Series 22, 23 and 24.
The three series had maturities of 181, 269 and 364 days, with respective yields of 22%, 23% and 24.5% per annum.
Cocoa prices remain volatile
The planned purchases come amid another volatile year for global cocoa prices. ICE cocoa futures were trading around $5,800 per metric tonne in early October after recovering substantially from lows recorded earlier in 2026.
- Prices had fallen to roughly $3,100 to $3,300 per tonne around March and April following an extended correction from levels above $11,000 per tonne during the previous cocoa rally.
- By early July, cocoa prices had begun recovering as concerns about weather and the outlook for West African production returned to the market.
- December New York cocoa futures rose by more than 5% in a single session on October 2 amid renewed concerns over supply and weather conditions.
- In July, the Federal Government dismissed reports of a planned ban on raw cocoa bean exports, saying its strategy was to expand domestic processing while allowing raw beans to continue entering international markets.
Also in July, the Bank of Industry announced plans to deploy long-term financing under an €85 million facility, with at least 70% expected to support Nigeria’s cocoa and dairy industries.
The policy direction is aimed at increasing domestic processing and value addition, while improving the amount of export revenue retained within Nigeria.
