Nigeria’s Largest Flour Miller Plans $1 Billion Investment in Boost to Tinubu

BREAKING: Nigeria’s Largest Flour Miller Plans $1 Billion Investment in Boost to Tinubu

Flour Mills of Nigeria Plc, the nation’s largest miller, plans to spend as much as $1 billion over the next four years to expand its facilities and restructure after its majority shareholder offered to take it private.

The new funding is about “doubling down on investment in Nigeria,” Chairman John Coumantaros said in an interview on Tuesday.

The investment will be a boost to President Bola Tinubu’s reform efforts at a time when some firms like Diageo Plc and Unilever Plc are exiting or reducing their exposure to the West African nation. Since coming to power in May 2023, he has unleashed a series of reforms, from free floating the naira to scaling back on fuel subsidies, to make the country more attractive to investors and pull it back from the brink of fiscal collapse.

Flour Mills plans to invest at least $500 million in its sugar operations in Niger state to increase production to more than 400,000 tons a year, from 100,000 tons currently, Coumantaros, said. Another $100 million will be used to build a cassava-processing factory to end imports of cassava starch into the country, while its breakfast cereal offering will be expanded, he said.

– Bloomberg