Reported by: Oahimire Omone Precious | Edited by: Oravbiere Osayomore Promise.
Emzor Pharmaceutical Industries has successfully raised N26.7 billion through a five-year fixed-rate bond listed on the FMDQ Exchange, marking a major step in the company's drive to expand local drug manufacturing and complete West Africa's first full-scale antimalarial Active Pharmaceutical Ingredient (API) manufacturing facility. The Series 1 bond, which carries a 19 per cent coupon, was issued under the company's N40 billion Bond Issuance Programme and represents Emzor's second domestic bond issuance.
The funds will be deployed towards working capital needs and the expansion of Emzor's manufacturing operations, with a significant portion supporting the completion of the antimalarial API plant. APIs are the active substances in medicines responsible for producing therapeutic effects. Much of the global supply of pharmaceutical ingredients is concentrated outside Africa, leaving local manufacturers vulnerable to disruptions in international supply chains, foreign exchange shortages and exchange-rate volatility. The completion of the API facility is expected to increase domestic production of pharmaceutical inputs and reduce Nigeria's reliance on imported APIs, a key component in the manufacture of medicines.
Emzor Chairman, Emeka Okoli, described the bond as an important step in the company's drive to expand pharmaceutical manufacturing in Nigeria. He noted that the strong investor response and oversubscription demonstrated confidence in Emzor's financial position and growth strategy. "The proceeds from the issuance will support the completion of the first full-scale antimalarial Active Pharmaceutical Ingredient manufacturing plant in Africa, a transformative project that will strengthen domestic pharmaceutical manufacturing, reduce reliance on imported APIs and contribute to greater pharmaceutical self-sufficiency in Nigeria and across the continent," Okoli said.
The transaction was driven by Renaissance Securities (Nigeria) Limited as lead sponsor, with FirstCap Limited and UCML Capital Limited serving as co-sponsors. Samuel Sule, Chief Executive Officer of Renaissance Capital Africa, described the issuance as an important transaction aimed at strengthening Nigeria's pharmaceutical manufacturing base. "The transaction, Emzor's sophomore domestic bond, is directed at the heart of Nigeria's pharmaceutical manufacturing base, promoting national health security and sovereignty by supporting completion of the first antimalaria API plant on the sub-continent," Sule said.
Group Chief Operating Officer of FMDQ Group Plc, Tumi Sekoni, said the listing demonstrated the ability of Nigeria's debt capital market to connect indigenous businesses with long-term funding. "By connecting a leading indigenous pharmaceutical manufacturer with long-term investor capital, FMDQ Exchange is supporting the expansion of locally driven industries while contributing to the development of a deeper and more resilient capital market," Sekoni said.
Founded in 1977 by pharmacist Stella Okoli as a small chemist shop in Lagos, Emzor has grown into one of Nigeria's leading pharmaceutical manufacturers, with more than 120 medicines across 16 therapeutic categories. For Nigeria, where dependence on imported pharmaceutical ingredients and finished products remains significant, the investment could contribute to greater supply security, reduce import-related cost pressures and support the development of a more resilient pharmaceutical manufacturing ecosystem. The successful bond issuance marks a significant milestone in Emzor's evolution from a local medicine manufacturer into a producer of critical pharmaceutical inputs, while also supporting Nigeria's efforts to reduce dependence on imported medicines and raw materials.
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