Agric Firm Secures N2bn Non-Equity Fund Ahead Of Expansion Drive

Zichis Agro Allied Industries Plc has announced a strategic non-equity capital injection of N2 billion into the Company by its core promoters, Chilla Entertainment Limited and Winners Investment & Trust Limited.

The Company made this known in a statement released on the Nigerian Exchange Limited.

The statement stated that “the capital injection further demonstrates the promoters’ continued confidence in the Company’s vision, growth prospects, and long-term value creation strategy. This is a senior liability to the Company which will be treated as a long-term liability in the balance sheet of the Company to be redeemed at a future date in terms of debt conversion to equity during a public offer or right issues.”

According to Zichis Agro Allied, this significant funding commitment represents a major milestone in the Company’s ambitious roadmap towards its planned growth and expansion programme, which is designed to transform Zichis into one of Nigeria’s leading agro-industrial enterprises with a fully integrated value chain spanning feed production, poultry farming, palm cultivation, and agro-processing.

“The N2 billion capital injection by the Company’s promoters is a powerful endorsement of Zichis Agro’s strategic direction and future potential. At a time when investors are increasingly focused on companies with strong fundamentals, committed leadership, and clear growth strategies, this investment underscores the confidence of the Company’s insiders in the value and sustainability of the business.”

It added that “the transaction further aligns management, promoters, and shareholders around a common objective: building a resilient, scalable, and highly profitable agribusiness platform capable of delivering sustainable returns to all stakeholders.”

The Company said, “the newly injected capital will primarily be deployed towards expanding the Company’s operational capacity and strengthening its working capital position.

It pointed out that “in line with its commitment to global best practices and sustainable agricultural development, the Board and Management of Zichis Agro Allied Industries Plc recently undertook an official visit to the Nigerian Institute for Oil Palm Research (NIFOR) in Edo State.

“The engagement is focused on establishing a strategic partnership for the acquisition of high yield oil palm seedlings and the implementation of modern cultivation techniques across the Company’s expanding palm estate.

“This collaboration is expected to enhance productivity, improve long-term yields, and support the Company’s objective of becoming a major participant in Nigeria’s growing palm oil value chain.”

Zichis Agro Allied disclosed that “as the Company continues to execute its growth strategy, management remains confident that the ongoing investments, operational expansion, and future capital-raising initiatives will further strengthen the Company’s market position and create substantial value for shareholders.”

It said that this N2 billion non-equity capital injection is not merely a funding exercise; it is a clear statement of intent, a demonstration of promoter confidence, and a strong foundation for the next phase of the Company’s growth journey.”