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Tomato Jos Receives $1.2 Million Support From USAID

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Tomato Jos Receives $1.2 Million Support From USAID-Crystal News

Tomato Jos, Nigerian agro-processing company focused on the local production and processing of tomatoes has diversified its operations venturing into the grains sector.

Under the new move, the private equity-backed, fast-growing social enterprise is seeking to boost the productivity, incomes, and resilience of maize and soybean smallholder farmers in northern Nigeria’s Kaduna State.

The company has received a N494 million (US$1.2 million) co-investment grant from the USAID-funded West Africa Trade & Investment Hub (Trade Hub) to facilitate the venture.

According to Trade Hub, Kaduna State is home to approximately 1.3 million farming families, many of whom farm both maize and soybean, two of Nigeria’s staple crops.

However, domestic production of these grains is failing to meet the high market demand because of several limitations faced by farmers, including outdated farming techniques, limited awareness of the market’s quality demand, and a lack of funds to improve their farming practices.

To address these challenges, Tomato Jos will leverage its grant and approximately N3.3 billion (US$8 million) of private funds to launch a 3-year maize and soybean out grower project in northern Nigeria.

The project will benefit 4,000 smallholder farmers who will work as out growers (also known as contract farmers) with Tomato Jos. Sixty percent of the out growers will be women and at least 40 percent youth.

“Leveraging private investments to finance smallholder farmers is key to driving inclusive economic growth in Northern Nigeria,” says Mira Mehta, founder of Tomato Jos. “We are proud to partner with the Trade Hub on this innovative project.”

The 4,000 smallholders will be trained on modern farming techniques to ensure their crops’ quality and increase their productivity.

Tomato Jos Receives $1.2 Million Ssupport From USAID

As many smallholders currently lack the capital to fully run their farm, loans will also be offered. These loans, combined with a guaranteed offtake of the crops through Tomato Jos, will provide a much-needed financial backstop to the smallholders, particularly for those affected by the COVID-19 pandemic.

Through these efforts, smallholders’ will be able to produce 3,600 metric tons of maize by the third year of the project, and 400 metric tons of soybean.

The co-investment will also be used to assist Tomato Jos in improving its operations and productivity.

The company will expand its storage capacity for grains, source improved inputs for greater yields, and increase its model farm and out grower programs to cover more locations for maize and soybean farming.

Tomato Jos will also develop its mobile and cloud technology platforms for data capturing, farm monitoring, and improved communication.

“Nigeria has seen its outputs of maize and soybean decline in recent years and efforts to counter this have been impacted by the COVID-19 pandemic.

“Thus, it is vital to assist companies such as Tomato Jos to help farmers increase production of these two staple crops and support food security,” says Karl Littlejohn, Acting Chief of Party for the Trade Hub.

The Trade Hub’s partnership with Tomato Jos builds on its other recently launched partnerships in Nigeria, such as ones with PYXERA Global and Thrive Agric, also focused on increased maize and soybean production.

The financial backing comes a year after the agribusiness firm, completed its US$4.2m Series A funding round led by Goodwell Investments, via its West Africa partner Alitheia Capital with participation from Acumen Capital Partners and VestedWorld.

The funding was channelled towards spearheading its transition to the next stage of growth which will entail the processing and distribution of tomato products.

Tomato Jos’ growth plans include the installation of a drip irrigation system and a processing plant that can produce 24 tons of finished products per day.

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OANDO WINS DEAL OF THE YEAR AWARD AT AFRICA ENERGY WEEK 2024

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-Story by Joy Agamah

Oando Plc, Africa’s leading energy solutions provider listed on the Nigerian Stock Exchange (NGX) and Johannesburg Stock Exchange (JSE) is pleased to announce that the Company has emerged winner of the ‘Deal of the Year’ award at Africa Energy Week (AEW) 2024.

The Africa Energy Chamber (AEC), the organisers of the annual week-long oil and gas conference, hosted and recognised different stakeholders at a Gala and Award night held at the Cape Town International Conference Centre (CITCC), on Tuesday, 5 November, 2024.

In a category comprising other high-profile deals in the sector and across Africa, Oando won the award in recognition of the Company’s recently completed landmark $783 million acquisition of the Nigerian Agip Oil Company (NAOC) from the Italian Energy firm Eni on 22 August, 2024.

This acquisition, 10 years in the making since Oando’s initial entry into the ConocoPhillips/NAOC/NNPC Joint Venture (JV) in 2014 when the Company acquired ConocoPhillips Nigeria business, doubled the company’s stake in the JV to 40% and operator of the assets.

In receiving the award, the Company’s Group Chief Executive, Wale Tinubu, remarked “We are delighted and honoured to receive the ‘Deal of the Year’ award from Africa Energy Week. It’s been a remarkable year on many fronts. First, we marked our 30th anniversary as a business, then concluded our strategic plan to acquire our second IOC in a decade, Nigerian Agip Oil Company (NAOC) and step up to the role of operator.

“This award is more than just an accolade for a successful deal closure; it represents a public acknowledgement of the culmination of 30 years of grit, hard work, resilience, and sheer belief in our vision. It is a testament to my belief that with the #HumansOfOando, impossible is nothing. I’d like to thank the dream team, the #HumansOfOando, our financiers, and partners for their belief and role in making this award a reality.”

The acquisition is the culmination of a decade of preparation, strategic planning, and unwavering commitment to a vision of becoming Africa’s first indigenous International Oil Company.

It is a testament to the organisation’s 30-year journey spanning the entire energy value chain, with consistent and deliberate actions at each stage that have led to the advancement of indigenous participation in the industry.

The Deal of the Year award “recognises the most transformative and impactful deal in the energy sector – honouring excellence in negotiation, strategic alignment, innovation and collaboration – and celebrates deals that drive advancements in energy and economic growth.”

With this year’s AEW theme of “Invest in Africa Energies: Energy Growth Through an Enabling Environment”, the AEC, through the AEW Awards 2024, recognised other persons, International (IOCs) and National Oil Companies (NOCs) across the continent through awards in 10 categories.

 

Tinubu at the event also delivered a key note address with the topic, Transforming Africa’s Oil and Gas landscape through strategic Merger and Acqusition.

During the address he  noted that indigenous companies contribute approximately 30% of the country’s crude oil production and hold around 40% of the total oil reserves. Additionally, they account for 60% of the country’s gas production and approximately 32% of gas reserves. This data underscores the growing significance of local players in the African oil and gas sector.

He also highlighted improvements in the business environment, citing the improved Ease of Doing Business driven by recent reforms that have attracted increased investments in energy. Tinubu pointed to the successful Implementation of the Petroleum Industry Act (PIA), which has established a regulatory framework that enhances transparency and boosts investor confidence.

Tinubu’s remarks included a call for enhanced collaboration among policymakers, investors, and oil and gas companies to foster the growth of indigenous firms through supportive regulations, financing access, and technology transfer. He urged stakeholders to focus on leveraging M&As to diversify and expand capabilities within the sector while emphasizing the need to strengthen Africa’s institutional and financing capacity for local firms.

As Oando continues on its growth trajectory, Tinubu’s insights served as a powerful reminder of the strategic importance of indigenous companies in Africa’s energy transformation and the collective effort required to drive sustainable development across the continent.

 

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We do not understand limits; we strive for the best” Oando boss, Tinubu

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Oando restates commitment to a sustainable energy future for Nigerians

In continuation of his dedicated mission to ensure a robust sources of energy for Nigerians, Wale Tinubu, the Group Chief Executive, Oando Group, has emphasized the company’s long-standing dedication to transforming lives through accessible energy sources.

“This is an energy story we’ve been writing for over 30 years. We are changing Nigeria’s lives every day by providing access to varied energy sources that power industries and fuel the economy,” Tinubu stated.

 

Tinubu, in a compelling narrative about Nigeria’s energy landscape, conveyed a strong sense of purpose, asserting that Oando has a mission to demonstrate the capacity of indigenous companies to lead the nation’s energy sector.

While drawing a parallel to Nigeria’s independence in the 1960s, he explained, “We see this as the emancipation of Nigeria’s indigenous oil and gas community.

“With a deep understanding of the resources beneath the surface, Oando is determined to excel and embrace meritocracy. We do not understand limits; we strive for the best,” Tinubu affirmed.

He noted that the company adheres to global standards in operations and maintenance, while at the same time showcasing its commitment to quality and excellence.

Highlighting the significance of the Okpai Phase I and II projects, Tinubu explained that the facilities boast a combined capacity of approximately 1GW, marking them as “the most reliable and efficient plants in the country.

“Since 2005, Okpai has contributed over 43,435 GWh to the national grid, enabling communities across Nigeria to thrive. Okpai Phase II is set to make an immediate impact, with an expected injection of 300 MW into the national grid, followed by an additional 180 MW anticipated by the third quarter of 2025.”

Tinubu emphasized that the $800 million, 480 MW facility is centered on the company’s mission: “Building our nation remains at the heart of what we do.”

He went further to highlight Oando’s commitment to local communities, noting that over 8.5 GW of electricity has been delivered since the commissioning, and stressing the company’s role in fostering employment.

“We have achieved 12,332,594 LTI-free man-hours as of September 2024,” he proudly announced.

Oando continues to lead the charge in the energy sector, taking significant strides in illuminating the lives of Nigerians and securing a sustainable energy future for all.

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Wema Bank Declares profit before tax of ₦60.62bn

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Wema Bank Nigeria has released its unaudited Consolidated Financial Statements for the period ended September 30th 2024, to the Nigeria Exchange Group (NGX). The Bank reported profit before tax of ₦60.62bn, representing an increase of 174% over the ₦22.13bn recorded in the corresponding period in 2023.

 

Wema Bank’s balance sheet remained well structured with total assets growing by 38% to

 

₦3,084.27 trillion in Q3 2024 from ₦2,240.06trillion in FY 2023. The bank also grew its deposit base year to date by 23% to ₦2,292.30bn from ₦1,860.57bn reported in FY 2023. Loans and Advances grew by 25% to ₦1003.28bn in Q3 2024 from ₦801.10bn in FY, 2023. NPL stood at 3.19% as at Q3 2024.

 

The bank recorded an improved 3rd quarter performance as Gross Earnings grew by 91% to

 

₦288.32bn (Q3 2023: ₦150.90bn)). Interest Income was up 81% y/y to ₦229.11bn (Q3 2023:

 

₦126.67bn). Non-Interest Income up 144% y/y to ₦59.21bn (Q3 2023: ₦24.23bn).

 

Return on Equity (ROAE) of 38.62%, Pre-Tax Return on Assets (ROAA) of 2.64%, Capital Adequacy Ratio (CAR) of 14.06% and Cost to Income ratio of 60.47%, speak to the resilience of the brand.

 

The Managing Director/Chief Executive Officer of the bank, Mr. Moruf Oseni said, ‘our Q3 2024 numbers speaks to our resilience despite a tough operating environment. We will sustain our growth trajectory into 2025. The performance is headlined by impressive improvements in Profit before Tax which grew strongly by 174%. The growth of Gross Earnings by 91.07%, Total Assets by 38% and earnings per share at 328.1kobo shows the core improvements to our balance sheet. In addition, our cost to income ratio at 60.48% has witnessed significant improvement from the previous period.

 

 

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