Amethis Finance is heading up a consortium of investors that includes EuroMena Funds as well as a number of Amethis’s Limited Partners and extending a convertible loan to Elephant Africa Holdings, the holding company for Bel Papyrus and Bel Impex, two of Nigeria’s leading tissue paper producers. Once converted, the consortium will own a minority stake in the company.
The paper business was founded by Anthony and Gabriel Boulos in 1987, since when it has grown rapidly, owning a 35% share of the market for finished products today. The company produces its products using waste paper collected locally which it then recycles and uses to produce jumbo reels, which are then converted into finished products. In addition, the company has developed its own brands which are highly visible and distributed all over Nigeria via a wide distribution network of traditional wholesalers and modern retailers.
As part of its development strategy, the group intends to expand regionally while diversifying its local product range towards hygiene products, such as diapers and sanitary napkins. “Potential acquisitions and strategic partnerships are already being considered and Amethis will use its network and knowledge of the region to the group’s benefit” said Jean-Sebastien Bergasse, Investment Director on the project.
This is the first occasion on which the paper business has partnered with external investors, with the goal being to institutionalize the business and support the company’s expansion both domestically and regionally. “Amethis and EuroMena are glad and proud to seal a partnership with the Boulos family and support the business’ future evolutions while contributing to the development of local consumer goods sector” commented Laurent Demey, Managing Partner at Amethis in the statement announcing the financing.
Kyte Partners acted as the sole transaction advisor for the Boulos family. Terms of the deal were not disclosed.