Nigerian Breweries partners to launch food-grade rPET facility in Ogun State

Nigerian Breweries Plc, the country’s oldest and largest brewer, is joining a strategic partnership to establish a food-grade recycled Polyethylene Terephthalate (rPET) production facility in Ogun State, near Lagos. The company will hold a minority stake of 29 percent, without any role in day-to-day management or control.

New facility to boost Nigeria’s recycling

The initiative will be developed through Indorama Ventures Recycling Solutions Limited, a special purpose vehicle created to build, own, and operate the facility. Indorama Ventures Public Company Limited, a global chemical company and the world’s leading recycler of PET for beverages, is the majority partner. Genesis Energy Group, another global player, will provide its expertise in sustainable infrastructure and energy solutions as a minority partner.

Nigerian Breweries’ participation reflects its ongoing commitment to sustainability and to growing Nigeria’s recycling sector. The partnership also positions the brewer to secure a stable supply of recycled PET for its operations, in line with the National Policy on Plastic Waste Management, which encourages mandatory rPET use. The transaction is pending regulatory approvals, technical validation, and operational readiness.

Nigerian Breweries posts strong revenue growth

Founded in 1946, Nigerian Breweries has grown from a single brewery into a network of nine production sites, two malting plants in Aba and Kaduna, and an extensive sales and distribution network. Its exports, which began in 1986, now reach markets in the U.K., Netherlands, U.S., Canada, parts of Africa, and the Middle East and Asia.

For the year ended December 31, 2025, revenue rose 36 percent to N1.47 trillion ($1.08 billion), up from N1.08 trillion in 2024, driven by disciplined pricing, premium product growth, and improved distribution. Operating profit surged to N205 billion ($151.3 million) from N69.9 billion ($51.6 million), reflecting tighter cost control and efficiency gains.

Financial recovery boosts retained earnings

Profit after tax recovered to N99.1 billion ($73.14 million), reversing a N144.9 billion ($106.9 million) loss in 2024. A sharp 83 percent decline in net finance charges, following a 2024 rights issue that reduced foreign currency debt, contributed to the turnaround. Retained losses narrowed to N72.2 billion ($53.3 million) from N169.8 billion ($125.3 million).