Rand Merchant Bank (RMB) served as the sole arranger and lender on a $47 million and NGN5 billion fundraising package for the GZ Industries Limited group (GZI), providing a bespoke solution that positioned the firm advantageously for future development and expansion. GZI is Africa's biggest pure-play beverage packaging solutions supplier and a prominent maker and producer of premium-quality aluminium cans for numerous top global blue-chip beverage brands.
"RMB delivered a multi-jurisdictional, multi-currency solution that meets the requirements of both shareholders and management and that will position the Group to cater to increased demand across the continent," said Chidi Iwuchukwu, Head of Investment Banking for Broader Africa at RMB.
RMB, a subsidiary of FirstRand Bank Limited, is a renowned African corporate and investment bank that is part of one of Africa's biggest financial services organisations. We provide creative, value-added advising, finance, trading, corporate banking, and primary investment solutions to our customers.
GZI has manufacturing facilities in Nigeria and South Africa, with an annual capacity of three billion cans, and provides significant regional markets in West and Southern Africa. The company recently received the ASI Performance Standard V2 (2017) Certification for its facilities in Aba and Agbara, Nigeria, and Wadeville, South Africa, for manufacturing aluminium beverage cans for the food and beverage market. GZI's three factories have a combined yearly manufacturing capacity of more than 3 billion cans and can produce a variety of sizes and forms.
GZ Industries is an international manufacturer of high-quality aluminium beverage cans. The company uses the best-in-class production methods and the most recent high-speed beverage line to stay operationally effective, inventive, and sustainable, delivering clients the greatest value and service.
"The debt package is a demonstration of RMB's partnership-driven approach, which puts the needs of clients at the heart of our structuring. We also brought to play RMB's institutional partnerships with local institutions to deliver this offering," added Iwuchukwu.
The Group has manufacturing facilities in Nigeria and South Africa, with an annual capacity of three billion cans, and provides significant regional markets in West and Southern Africa. The revenues of this package will be utilised to allow the Group's growth to meet expanding and complicated customer demand in its markets, which long-term secured client relationships will support.
“The package facilitated enhancement of the Group’s balance sheet while reducing its overall cost of capital. This will help to optimise the capital structure with increased flexibility for growth and dominance, ensuring GZI’s sustained market leading position and future expansion,” said Sibusiso Tashe, Co-head of Leveraged Finance at RMB.
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