Dufil Prima to raise N30bn in twin series CPs from FMDQ platform

BY CHARLES ABUEDE

Dufil Prima Foods, a subsidiary of Tolaram group and consumer food manufacturer in Nigeria, is to raise N30 billion from the Nigerian debt market by quoting its N8 billion Series 5 and N22 billion Series 6 Commercial Papers (CPs) on the FMDQ OTC Securities Exchange.

Dufil Prima Foods plc is a consumer food manufacturing company based in Nigeria and a subsidiary of Tolaram Group, which manufactures and distributes food products such as instant noodles, vegetable cooking oil, and baking flour, amongst others.

The company said its entrance into the debt market is to tap funds from the market to meet its short-term funding needs and liquidity requirements.

In a statement, FMDQ Securities Exchange said this is coming after the due diligence process by the board was completed to enable the proper listing of the firms’ commercial paper. The quotation of the CP Series will come under the company’s N30 billion CP Issuance Programme.

Per the quotation of these CPs, which are sponsored by Stanbic IBTC Capital Limited – a Registration Member (Quotations) of the Exchange, strategically positions Dufil to raise short-term finance easily and quickly from the Nigerian debt capital market (DCM).

The proceeds from these CPs will be used to refinance the food giant’s short-term debt obligation as well as support its working capital.