Pathway Advisors Limited leads Zeenab Foods Limited’s successful N10 billion Commercial Paper Raise 

Pathway Advisors Limited Leads Zeenab Foods Limited’s N10 Billion Commercial Paper Triumph in 2025

In a landmark achievement for Nigeria’s agribusiness sector, Pathway Advisors Limited has successfully spearheaded Zeenab Foods Limited’s N10.22 billion Series 4 Commercial Paper (CP) issuance, announced on June 30, 2025. This oversubscribed offering, part of Zeenab’s N20 billion CP Programme, underscores the company’s financial strength and Pathway Advisors’ expertise in navigating Nigeria’s capital markets. Here’s how this deal is reshaping investor confidence and fueling growth in the agro-commodity industry.

A Milestone for Zeenab Foods

Zeenab Foods Limited, a leading Nigerian food processing and agro-commodity trading company established in 2011, raised N10.22 billion through its Series 4 CP issuance, surpassing its initial N10 billion target. The 270-day tenor offering, with a competitive yield of 26.50%, attracted a diverse pool of institutional investors, reflecting robust market trust in Zeenab’s business model.

The funds will support Zeenab’s strategic goals, including expanding its rice milling capacity from 120 metric tonnes per day to 240 by the end of 2025, enhancing agro-commodity exports to markets like China, and fulfilling food supply contracts with international donor agencies such as the United Nations World Food Programme. “The success of this issuance is a testament to the strength of our diversified business model, market reputation, and creditworthiness,” said Dr. Ayemere O. Victor, Managing Director and CEO of Zeenab Foods Limited.

Pathway Advisors’ Pivotal Role

Pathway Advisors Limited, acting as Financial Adviser, Transaction Sponsor, and Lead Arranger, played a critical role in structuring and executing the issuance. The firm’s deep capital market expertise ensured the deal’s oversubscription, building on Zeenab’s strong track record of redeeming N1.6 billion in Series 1 (Tranche A) in September 2024 and N3.43 billion in Series 1 (Tranche B) and Series 2 (Tranches A & B) in March and April 2025.

“We are proud to have supported Zeenab Foods Limited on another successful CP issuance,” said Mr. Adekunle Alade, Managing Director and CEO of Pathway Advisors Limited. “The oversubscriptions reflect strong investors’ confidence in Zeenab’s financial performance, corporate governance, and creditworthiness.” Alade emphasized Pathway’s commitment to helping mid-market companies like Zeenab access cost-effective funding, reducing reliance on traditional bank loans.

Why This Matters in 2025

The Nigerian Debt Capital Market is increasingly vital for agribusinesses seeking flexible, short-term funding. Zeenab’s CP Programme, approved by FMDQ Securities Exchange Limited in July 2024, has raised over N15 billion across multiple series, showcasing its financial discipline. The Series 4 issuance follows a successful Series 3 (Tranches A & B) in January 2025, which also targeted N10 billion to support working capital for rice milling and agro-commodity exports.

This deal highlights several key trends:

  • Investor Confidence: Zeenab’s A rating from Agusto & Co and DataPro reflects its strong profitability, cash flow, and low leverage, bolstered by its export business and partnerships with multilateral institutions.
  • Agribusiness Growth: With factories in Abuja and Kano, and a new liaison office in Lagos, Zeenab is scaling its operations to capture a larger share of Nigeria’s rice market and global agro-commodity trade.
  • Capital Market Innovation: Pathway Advisors’ ability to attract non-bank institutional investors diversifies funding sources, lowering borrowing costs for Zeenab.

Challenges and Considerations

While the oversubscription signals market strength, commercial paper investments carry risks, such as interest rate fluctuations and liquidity concerns. Zeenab’s early redemptions—N1.6 billion in September 2024 and N3.43 billion in 2025—mitigate these risks by demonstrating reliability. Investors should still consult financial advisors to assess CP risks, especially in Nigeria’s volatile economic climate.

What This Means for Investors and the Industry

Zeenab Foods’ latest triumph, backed by Pathway Advisors, signals a bright future for Nigeria’s agribusiness sector. The N10.22 billion raise not only fuels Zeenab’s expansion but also sets a precedent for mid-sized companies leveraging capital markets for growth. “We are deeply grateful to our institutional investors for their confidence,” Dr. Victor noted, crediting Pathway Advisors for their “unwavering support.”

For investors, this deal offers a compelling opportunity to back a financially disciplined company with a diversified portfolio—spanning rice milling, agro-exports, and humanitarian supply contracts. For the industry, it showcases the power of strategic financial advisory in unlocking capital for sustainable growth.

Interested in exploring similar opportunities? Contact Pathway Advisors Limited or visit FMDQ Securities Exchange for details on Zeenab’s CP Programme. With Nigeria’s agribusiness sector on the rise, stories like this are just the beginning.

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