Indorama Secures $340m Refinancing As RMB Leads Funding

Indorama Fertiliser and Chemicals FZE Limited has secured a $340 million refinancing facility led by Rand Merchant Bank (RMB), providing the company with a medium-term funding package to strengthen its fertiliser operations and support Nigeria’s growing non-oil export sector.

RMB, a division of the FirstRand Group, acted as Coordinator and Lead Arranger for the transaction, which was fully underwritten by a consortium of development finance institutions and international commercial banks.

According to the bank, the refinancing provides Indorama with a more competitive funding structure that aligns with the brownfield expansion of its fertiliser business in Nigeria while enhancing its long-term financing profile.

The deal comes as Indorama continues to strengthen its position in Nigeria’s industrial sector. In 2025, the company recorded its highest-ever urea production of 2.7 million metric tonnes, achieving a capacity utilisation rate of 103 per cent.

Data from the Central Bank of Nigeria (CBN) shows that Indorama remains Nigeria’s largest non-oil exporter, accounting for more than 18 per cent of the country’s non-oil exports in 2024.

The company also supplies about 75 per cent of Nigeria’s domestic fertiliser market, supporting agricultural productivity and food security.

Commenting on the transaction, Executive Director and Head of Investment Banking at RMB Nigeria, Chidi Iwuchukwu, said the refinancing underscores the bank’s commitment to supporting strategic investments in Nigeria’s industrial sector.

“This financing is a show of RMB’s commitment towards providing strategic advisory while also deploying its cross-border balance sheet to support private sector investment across the heavy industry manufacturing segment of the domestic economy. This financing supports the strong non-oil export growth that Indorama FZE continues to drive as a market-leading player,” he said.

RMB said the refinancing involved extensive coordination among multiple financial institutions to deliver a funding solution that meets Indorama’s long-term financing objectives while reducing its cost of funding.

The bank added that it deployed significant resources alongside participating lenders to complete the transaction within the required timeline.

With the commissioning of its Line 3 facility in June 2026, Indorama has become the world’s largest single-site urea producer. The company now operates fully integrated urea production facilities, supported by dedicated gas pipelines, Feed Conditioning Units, utility infrastructure, warehousing facilities and a dedicated jetty to ensure uninterrupted operations.

Senior Dealmaker and Head of Infrastructure Finance, Nigeria at RMB, Enyinna Anumudu, said the refinancing would enhance Nigeria’s manufacturing competitiveness and fertiliser export capacity.

“RMB is proud to have acted as Lead Arranger and Coordinator for the refinancing at Indorama FZE. By making this financing available for domestic manufacturing and heavy industry investments in Nigeria, we have entrenched the long-term competitiveness of the Nigerian private sector in meeting domestic and export demand for fertiliser while supporting food sufficiency in the country,” he said.