Sunbeth’s N150bn commercial paper offer attracts N220bn

Sunbeth Global Concept Limited has attracted subscriptions exceeding N220 billion for its N150 billion commercial paper offer, representing an oversubscription of more than 46.7 per cent and signalling strong investor confidence in the company’s growth strategy.

The company disclosed this in a statement, noting that subscriptions exceeded its target by over N70 billion.

The proceeds will support cocoa procurement for the new season, alongside trading operations and working capital requirements as the company expands its activities across the cocoa value chain.

The successful issuance comes as Sunbeth strengthens its cocoa sourcing and trading operations while pursuing investments in local processing to increase value addition within Nigeria’s agricultural sector.

A key component of its expansion strategy is a planned cocoa processing plant with a capacity of 70,000 metric tonnes. The facility is expected to support the company’s ambition to supply processed cocoa products to customers in Nigeria, across Africa and in international markets.

Commenting on the outcome, Sunbeth’s Chief Financial Officer, Adeyemi Aduwo, said the strong subscription reflected investors’ confidence in the company and its business strategy.

“The strong response reflects investors’ confidence in Sunbeth and our growth strategy. We thank our investors and transaction partners for their support. This funding strengthens our cocoa procurement capacity as we continue building an integrated business spanning sourcing, trading and processing,” he said.

The company said the funding would reinforce its ability to procure cocoa during the new season and support the working capital needs associated with its expanding operations.

Sunbeth also acknowledged the contributions of Chapel Hill Denham, its lead arranger, and other dealers, advisers and professional partners involved in the issuance.

They include AVA Capital Plc, Cordros Advisory Services Limited, Coronation Merchant Bank Limited, FSL Advisory Limited, Meristem Capital Limited, Norrenberger Advisory Partners Limited, PAC Capital Limited, Rand Merchant Bank, CFG Manyard, Absa Nigeria and Zedcrest.

KPMG provided professional services, while The New Practice served as legal counsel to the transaction.

Sunbeth said it remained focused on strengthening its sourcing network, expanding its international customer base and developing its processing capacity, supported by disciplined financial management.

The oversubscription provides additional evidence of investor appetite for companies operating in Nigeria’s agricultural commodity sector, particularly those seeking to expand local processing and participate more extensively in global value chains.

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