Oando Secures $800 Million Deal with Afreximbank for Strategic Oil Acquisition

Nigeria’s Oando Plc has inked a landmark $800 million deal with the African Export and Import Bank (Afreximbank) at the ongoing Intra-African Trade Fair in Cairo, Egypt.

The syndicated dual facility includes a $500 million Senior Secured Reserve-Based Lending facility and a $300 million Receivables-Backed Term Loan facility.

This financial package aims to drive Oando’s strategic acquisition of a 20% participating interest in the Nigerian Agip Oil Company Limited, covering Oil Mining Leases 60, 61, 62, and 63, along with the entire issued share capital of NAOC, previously held by Eni S.A.

Afreximbank expressed its commitment to empowering African institutions and enhancing local capacity through this deal.

The bank emphasized its dedication to financing transactions that boost Africa’s trade while transferring capacity from foreign institutions to African hands.

This significant move propels Oando to new heights in the oil industry by substantially enhancing its production capacity.

Afreximbank considers this acquisition a pivotal moment, showcasing its ability to mobilize capital for robust transactions within its member nations.

Since the start of the Intra-African Trade Fair in Cairo, Afreximbank has entered into over 10 financing deals with companies across diverse sectors, contributing to Africa’s growth ambitions.