The International Finance Corporation (IFC) has partnered with a Nigerian investment firm, ARM Capital Partners, to invest $9.5 million of equity capital into Boulos Food and Beverages, a consumer food products company. IFC will contribute $3.5 million and ARM will provide $6 million.
The financing will be used to build a beverage and food processing plant in Nigeria’s eastern city of Ibadan. Boulos Food currently produces fruit juices and other non-alcoholic drinks, milk products and tomato paste for the Nigerian market.
IFC has made agribusiness one of its primary sectors for investment in Africa, announcing an investment target of $2 billion by 2018 in July this year.
“One of IFC’s top priorities in Nigeria is supporting agribusiness, the largest single contributor to its GDP, as well as its largest employer, especially in rural areas,” said German Vegarra, IFC regional industry director. “This important project will help showcase successful commercial food processing and should encourage further agribusiness investments that will create more jobs and grow Nigeria’s economy.”