Here’s the latest in ESM’s regular series, Notes From Africa, which brings you the latest retail, consumer goods, and food-and-beverage stories from across the African continent. Past editions can be found here.
Morocco: Yola Fresh Gets $7 Million to Expand
In Morocco, the start-up Yola Fresh has raised $7 million in pre-Series A financing. Founded in 2023, the company plans to strengthen its activity in Morocco by expanding its team, improving its platform, and extending into several Moroccan cities.
Beyond this local expansion, Yola Fresh plans to continue its growth outside the country by 2026. Yola Fresh is working to reduce the cost of agricultural produce purchases for retailers as well as food waste.
Nigeria: Johnvents Signs Loan Agreement
Nigerian agribusiness company Johnvents has signed a $23.3 million loan agreement with the International Finance Corporation (IFC). This financial package should enable the company to expand its plant based in Ondo State and double its cocoa processing capacity to 120 tonnes per day.
Established in 2016, the company aims to increase its purchases of cocoa from its network of suppliers.
Cameroon: Chocolate Factory To Be Constructed
In Cameroon, the construction of a chocolate factory has been launched in Obala, located 30 km north of Yaoundé. The factory will cover 3,000 m², with a total cost of one billion FCFA ($1.5 million).
The project is being carried out by the company Sas Manta, operated by Frenchman Olivier Bordais. It is expected to enhance the added value in the cocoa sector in Cameroon, which is the world’s fifth-largest bean producer.
Kenya: AvoVeg to Invest $20 Million in Avocado Processing
In Kenya, fruit and vegetable export company AvoVeg Health plans to inject 2.63 billion shillings ($20 million) into avocado processing. This investment will enable the installation of a processing unit dedicated to guacamole production and avocado packaging.
Kenya is Africa's leading avocado producer, with a harvest of 458,000 tonnes in 2022 from an area covering 27,800 hectares.
Nigeria: Soybean Oil Refinery to be Constructed
In Nigeria, the construction of a soybean oil refinery has commenced in Kaduna State. Costing a total of $50 million, the project is being financed by Sunagrow Oil Limited, a company specialising in the production and marketing of edible oil. The plant will be able to produce 500,000 litres of oil per day, once operational.
In Nigeria, annual soybean production is around 1.2 million tonnes.
Senegal: Maad Raises $3.2 Million to Spur Growth
In Senegal, B2B e-commerce startup Maad has secured $3.2 million in debt financing to support its growth in Senegal and expand into French-speaking countries in West Africa by the end of the year.
Maad's end-to-end distribution platform enables informal retailers to source FMCG products directly from partner suppliers, tackling key issues such as stock-outs and high inventory costs caused by multiple levels of distribution. It currently serves 6,500 retailers, through a network of 80 suppliers.
Algeria: E.S.E Intec to Invest in Aquaculture
Algerian aquaculture company Aqua Continentale has signed an $8 million agreement with the American firm E.S.E Intec, which provides solutions for the food and feed industry. The partnership covers the engineering, design, equipment supply, construction, and commissioning of a state-of-the-art production facility for aquaculture food products in the wilaya of Relizane.
This large-scale project will be dedicated to shrimp farming. According to local media reports, the company expects to produce 10,000 tonnes of shrimp for both the local and export markets and to create 150 to 200 jobs.
Nigeria: Flour Mills of Nigeria Reports 33% Profit Drop
Agribusiness conglomerate Flour Mills of Nigeria (FMN) has posted a profit of ₦3.5 billion ($2.4 million) as of the end of its 2023/2024 financial year, which ended on March 31, compared to a net profit of ₦29.5 billion ($20 million) achieved a year earlier.
While the Lagos Stock Exchange (NGX)-listed company recorded a 49% increase in sales, reaching over ₦2,300 billion ($1.5 billion) during the reviewed period, its performance was weighed down by financial losses, which quadrupled to ₦137.5 billion ($92.5 million) due to the devaluation of the naira.
Added to this were increases of 48%, 26%, and 28% respectively in sales costs, operating expenses, and financing costs. FMN produces and markets several brands, including Golden Penny, Semovita, and Masavita.
