Case studies – Nigeria distilleries limited (NDL)

 
Nigeria Distilleries Limited ("NDL") - Incorporated on the 6th of March 1961 with 100% Nigerian ownership, is the largest wine and spirits producing company in Nigeria, solely devoted to the manufacturing and marketing of fourteen brands of alcoholic and non alcoholic beverages in 35 different pack sizes.

The company has more than one thousand employees and has a philosophy of nurturing local personnel through training and exposure to modern equipment. NDL has achieved phenomenal growth from inception through the quality of its workforce. The current beverage capacity of the company is ten million litres per year with distribution outlets spread across the country.
 

The programme

To meet the growing demand for its products and position the company for the next level of desired expansion, NDL approached Stanbic IBTC for financing of raw materials importation and augmentation of its working capital. 
 

Financing

In May 2009, Stanbic IBTC granted a ₦800 million facility in the form of an import finance facility and overdraft to NDL, which was fully utilised in December 2009. The facility was further enhanced by ₦260 million to enable NDL to establish more Letters of Credits (LCs) for raw material importation, bringing the total exposure to ₦1.06 billion. 
 

The market

The demand for both alcoholic and non-alcoholic beverages in Nigeria increases daily. Over the years, with experience and intensive research, NDL has expanded and improved its product range and quality level to satisfy its customers and meet the high demand for their products. Currently, NDL is regarded as the company with the best brand of beverages and a foremost leader in the alcoholic and non-alcoholic beverage segment of the Food and Beverage Industry in Nigeria. NDL has a promising outlook derived from its business strategies and focus.

Stanbic IBTC bank will continue to partner with NDL in maintaining its leadership position in the distilleries market/industry.