African Export-Import Financial institution (Afreximbank) is happy to announce that it has underwritten US$2.5 billion within the US$4-billion senior syndicated time period mortgage in favour of Dangote Petroleum Refinery and Petrochemicals FZE (DPRP).
Afreximbank and Entry Financial institution had been appointed co-Mandated Lead Arrangers for the five-year facility to consolidate present financing, optimise its capital construction and align with the refinery’s operational standing and long-term progress plan.
The transaction marks a serious milestone for DPRP, Africa’s largest refinery and petrochemical complicated with a capability of 650,000 barrels per day. The ability will improve steadiness sheet flexibility, strengthen the corporate’s monetary place, and assist the refinery as a strategic provider of refined petroleum merchandise to Africa and the worldwide market.
Afreximbank’s participation of US$2.5 billion is the biggest share within the syndicate and underscores the Financial institution’s management in mobilising capital to assist Africa’s industrialisation, advancing import substitution, selling intra-African commerce in refined petroleum merchandise, and strengthening vitality safety.
For the reason that graduation of refining operations in February 2024, Afreximbank has supported the refinery with a US$ 1 billion working capital facility, in addition to appearing as Monetary Adviser on the Naira-for-Crude initiative which is facilitating the acquisition of crude oil and sale of refined product in native foreign money eliminating the dependence on international foreign money.
Commenting on the event throughout a technique engagement session between the Board of Administrators of Afreximbank and the management of Dangote Group in Cairo, Egypt, Dr. George Elombi, President and Chairman of the Board of Administrators of Afreximbank, stated:
“We take immense pleasure in being the one largest supplier of financing to the Dangote Group. We accomplish that primarily as a result of Dangote is African. Once we put money into ourselves, we do greater than create jobs and wealth or develop authorities revenues; we construct a safe and resilient future for our continent. For this reason we’re happy to have invested about US$15 billion within the Dangote Group since 2015.
Dr. Elombi confused that there was nothing extra rewarding than investing in African enterprises, emphasising that empowering them was crucial for the continent’s self-sustainability. He famous, “Afreximbank and its Board of Administrators stand able to assist the realisation of Dangote Group’s aspirations as a result of after we construct our establishments and supply the requisite assist to develop, we are going to not should look elsewhere for benevolence or salvation in tough instances.”
This transaction makes a strong assertion about Afreximbank’s dedication to backing transformative and indigenous industrial initiatives which are reshaping Africa’s financial future. The Dangote Refinery stands as a daring image of what African ambition, African capital and African execution can obtain at scale. Past increasing refining capability, it’s strengthening the foundations of Africa’s vitality safety, decreasing dependence on imports and opening new frontiers for intra-African commerce and industrial improvement. Afreximbank is proud to face alongside this historic achievement and to proceed supporting the continent’s journey in the direction of better self-sufficiency, resilience and prosperity.”
Mr. Aliko Dangote, President/Chief Government, Dangote Industries Restricted, on his half, stated:
“This financing marks an essential step in strengthening the monetary basis of Dangote Petroleum Refinery & Petrochemicals and positions the enterprise for the following part of its progress. We admire Afreximbank’s continued assist and confidence in our imaginative and prescient to construct world-class industrial capability that serves Nigeria, Africa and international markets.”
The syndicated time period mortgage attracted sturdy curiosity from a consortium of African and worldwide monetary establishments, reflecting continued confidence within the Dangote Petroleum Refinery as a transformative industrial asset and in Africa’s broader industrialisation agenda.
