Flour Mills Seeks N40bn from Bond Investors

By Aduragbemi Omiyale

One of the top milling companies in the country, Flour Mills of Nigeria Plc, has rushed to the capital market to seek N40 billion from bond investors.

The flour miller is requesting the funds to refinance its existing debts and also to fund its business operations, especially at a time its operating environment is very challenging.

The series 1 bond issuance is under the organisation’s N200 billion bond issuance programme approved by the necessary regulatory agencies.

Interested investors can purchase the corporate debt instrument from Tuesday, April 4, 2023, to Friday, April 14, 2023, with a minimum of N10 million and multiples of N1 million thereafter.

Flour Mills competes in the country’s milling industry with heavyweights like Dufil Prima Nigeria Limited (makers of the popular Indomie) and Olam Nigeria.

Last year, it acquired one of its rivals, Honeywell Flour, in a deal believed to be worth about N80 billion.

The deal was brokered to create “a food business that is better positioned to benefit the growing Nigerian population and leverage opportunities stemming from the African Continental Free Trade Area (AfCFTA).”