UAC Nigeria Borrows N5bn for Day-to-Day Operations
By Aduragbemi Omiyale
A leading conglomerate in the country, UAC Nigeria Plc, has approached capital market investors to get funds worth N5 billion for its day-to-day operations.
The company is getting the ‘loan’ from them in exchange for commercial papers that are redeemable in the next 270 days at a yield of 14.00 per cent.
Subscription for the debt instrument closed on Thursday, April 27, 2023, after it opened on Thursday, April 27, 2023. The holding firm sold the paper under its N45 billion commercial paper programme.
The latest tranche was the third series, and the settlement date in Friday, April 28, 2023.
UAC has an extensive geographic footprint in Nigeria, with leading positions in key sectors of the Nigerian economy. It has subsidiaries and associate companies across different sectors.
One of these sectors is the Quick Service Restaurants operated under UAC Restaurants Limited. It has a joint venture with famous brands responsible for managing the network of Mr Bigg’s and Debonairs Pizza brands across Nigeria.
Its packaged foods and beverages business segment is operated under UAC Foods Limited and has iconic brands like Gala, SWAN Spring Water, Supreme and Funtime under its belt.
The animal feeds and other edibles category is run by Grand Cereals Limited, is a leading producer of cereals, edible oils, poultry feed, fish feed, ruminant feed and dog food.
It also controls Livestock Feeds Plc, which produces and distributes poultry feed, feed concentrates, full-fat soya and veterinary drugs.
The paints business is managed by Chemical and Allied Products (CAP) Plc, which has a diversified brand portfolio comprising Dulux, Sandtex, Caplux, and Hempel.
UAC Nigeria is also not left out in the logistics business as this subsidiary is run by MDS Logistics Limited, a leading logistics provider in Nigeria that offers the complete suite of outbound logistics and supply chain services, including warehousing, haulage and distribution, while its plays big in the real estate sector through UPDC Plc.