Heineken Nigeria, an arm of Nigerian Breweries has disclosed that it is to sell N100 billion in debt to boost liquidity as lower crude prices impact spending.
The company’s Finance Director, Mark Rutten, hinted that the debt sale which is expected by October 8, will enable the company to diversify its funding and attract non-bank investors.
Commenting on the move, the Managing Director, Mr. Nicolaas Vervelde, said it demonstrates the Heineken N.V unit’s commitment to Nigeria, where it owns 11 breweries.
It will be recalled that the company reported lower first-half profit in July, while smaller competitor Guinness Nigeria Plc said earlier this month that the economic situation had hurt consumption of pricier beer brands. Nigerian Breweries shares rose 0.7 per cent to N148 on Wednesday.The stock has plunged 10 per cent in 2015, compared with an 11 per cent drop in the 179-member Nigerian Stock Exchange All-Share Index.