Afreximbank provides $81.9m loan for Veenocks tile plant expansion

The African Export-Import Bank (Afreximbank) has provided an $81.9 million senior term loan to support the expansion of Veenocks Ltd’s porcelain tile manufacturing plant in Sagamu, Ogun State, Nigeria. The total project cost is estimated at $145 million.

The expansion aims to increase the plant’s annual production capacity from 3.3 million to 9.9 million square metres. This growth is intended to meet domestic demand and facilitate regional expansion into markets including Togo, Benin, Burkina Faso, Niger, Cameroon, Ghana, Mauritania, and Senegal.

Afreximbank previously signed a $2 million Project Preparation Facility (PPF) agreement with Veenocks in August 2024. This facility financed the technical, commercial, financial, legal, environmental, and social studies required to establish the project’s bankability. The PPF funding has been fully repaid from senior debt.

The project is expected to create approximately 300 additional direct jobs, supplementing the existing workforce of over 200 employees. It is also anticipated to generate indirect employment in logistics, distribution, and raw material supply.