Standard Bank Closes $250m Strategic Financing for Aradel Energy

Stanbic IBTC Capital Limited, Stanbic IBTC Bank Limited and The Standard Bank of South Africa Limited have successfully achieved financial close on a landmark $250 million financing facility for Aradel Energy Limited.

The facility was structured to support Aradel Energy’s strategic growth agenda, including the acquisition of an additional 40% equity interest in ND Western Limited from Petrolin Trading Limited, the refinancing of existing loan facilities, and the funding of increased production from the Company’s existing asset base.

Aradel Energy is a wholly owned subsidiary of Aradel Holdings Plc and the operator of the Ogbele and Omerelu onshore marginal fields, as well as OPL 227 in shallow water terrain. Prior to the transaction, Aradel Energy held a 41.67% equity interest in ND Western. Following the completion of the acquisition, its shareholding in ND Western has increased to 81.67%.

ND Western holds a 45% participating interest in OML 34 and a 50% equity interest in Renaissance Africa Energy Company Limited.

Renaissance is the operator of the Renaissance Joint Venture and a 30% owner of one of Nigeria’s largest and most strategic energy portfolios. As a result of the transaction, Aradel Energy’s indirect equity interest in Renaissance has increased to 53.3%, significantly strengthening the company’s upstream position and long-term value creation potential.

Standard Bank acted as Global Coordinator and Bookrunner, leading the structuring, execution, and funding of the facility. The transaction affirms the Bank’s deep sectoral expertise and reinforces its position as a leading financier in Africa’s energy industry.

Eric Fajemisin, Executive Director, Corporate and Transaction Banking, Stanbic IBTC Bank stated: “As Aradel Energy consolidates its position as one of Nigeria’s leading oil and gas companies, Stanbic IBTC Bank is proud to serve as a trusted long-term partner supporting the Company’s growth ambitions.”.

“The transaction illustrates Standard Bank’s ability to deliver large-scale, tailored funding solutions and further demonstrates our support to the fast-growing indigenous companies of Nigeria’s oil and gas sector,” added Cody Aduloju, Regional Head, Energy & Infrastructure Finance, West Africa at Standard Bank.

Commenting on the transaction, Adegbite Falade, Chief Executive Officer of Aradel Holdings Plc, stated: “The acquisition bolsters Aradel Energy’s competitive positioning across Nigeria’s oil and gas value chain and supports our commitment to strategic growth, asset optimisation, and enduring value creation. We are pleased to have partnered with Standard Bank, who supported us and delivered a fully funded solution under very tight timelines.”

This transaction reinforces Standard Bank Group’s commitment to providing strategic capital to clients as they execute on their transformative growth objectives.

By delivering tailored financing solutions that enable sustainable value creation, the Bank remains a trusted partner to leading corporations across Africa’s evolving energy landscape.

 

spot_img
spot_img
spot_img
spot_img
spot_img

Hot this week

Guinea Insurance Surpasses ₦15bn Minimum Capital Requirement in Recapitalisation Milestone

Guinea Insurance Plc has achieved a significant milestone in...

NAICOM Reaffirms Support for Takaful, Microinsurance Growth as Noor Takaful Nears 10th Anniversary

L-R: Dr. Usman Jankara Jimada, Deputy Commissioner Technical, NAICOM;...

BUA Foods Delivers Double Digit Profit as Margin Discipline Drives Growth

  Company advances long term expansion strategy with significant...

Leadway Sounds Alarm on African Swine Fever, Urges Farmers to Strengthen Biosecurity

As concerns grow over recent outbreaks of African Swine...

Ecobank Nigeria Launches Scaling Up!!! Podcast to Champion African Entrepreneurship, Business Growth

Ecobank Nigeria has launched Scaling Up!!!, its flagship business...

Topics

CHI Renews N24m Group Personal Accident Cover for Journalists

Eddie Efekoha Group Managing Director/CEO Consolidated Hallmark Insurance Plc Consolidated Hallmark Insurance...

US electronic cigarettes on all commercial flights

U.S. Department of Transportation announced a final rule that...

Cryptocurrency Theft Hits $927m in 9 Months

A report by Reuters says the theft of cryptocurrencies...

World Bank Report: Digital Payments Vital To Economic Growth

• Gates Foundation, Better Than Cash Alliance urge Governments...

‘Oil Price to Rise 4% in 2018’- World Bank

Oil prices are forecast to rise to $56 a...

NASENI Holds Retreat to Align Goals of its Development Institutes

In order to achieve greater cohesion amongst its Development...

Firms to Invest $6.6bn in Internet of Things in 2O16

In an update to its Worldwide Semi-annual Internet of...

African Power Sector Outlook Optimistic: PwC

Power utility companies and stakeholders across Africa anticipate a brighter and different outlook for the sector in the decade ahead, according to a new report from PwC. Fifty one senior power and utility sector executives from 15 African countries took part in PwC’s Africa power & utilities survey. They report continued concern about some of the immediate risks to the power system, but are also optimistic about the longer term prospects for electricity in Africa.
spot_img

Related Articles

Popular Categories

spot_imgspot_img