Veenocks Limited, a Nigerian manufacturing company founded by Adebisi Abidemi Adebutu, son of gambling magnate Kessington Adebutu, has secured an $81.9 million senior term loan from the African Export-Import Bank (Afreximbank) to expand its porcelain tile manufacturing operations in Ogun State. The financing supports a $145 million industrial project.

The loan will fund additional manufacturing capacity at the company’s plant in Sagamu, positioning Veenocks to nearly triple production as Nigeria seeks to strengthen domestic manufacturing and reduce reliance on imported building materials. The expansion also targets growing demand for porcelain tiles across Nigeria and regional African markets.

Production capacity set to triple

The expansion is expected to increase the plant’s annual production capacity from 3.3 million to 9.9 million square meters. Veenocks currently employs more than 200 people directly, with the new investment expected to create another 300 direct jobs and additional employment across raw material supply, logistics and distribution.

The financing follows a $2 million Project Preparation Facility agreement signed between Afreximbank and Veenocks in August 2024.

The facility funded technical, commercial, financial, legal, environmental and social studies designed to establish the project’s bankability and prepare it for the larger investment required to expand operations.

Afreximbank backs Nigerian manufacturing

Kanayo Awani, Afreximbank’s executive vice president for intra-African trade and export development, said the project demonstrates how preparation funding and commercial financing can support industrial investment.

She said the earlier studies strengthened the project’s bankability, while the senior debt facility would help translate the company’s expansion plans into additional productive capacity.

Adebisi Adebutu, group president of R28 Holdings, Veenocks’ parent company, said the investment would help build a globally competitive Nigerian tile manufacturer capable of producing products to European quality standards.

He said the financing would also support the company’s ambition to reduce imports, process local raw materials and expand into regional markets.

Adebutu’s industrial expansion plans

Adebutu said the expansion would increase the availability of locally manufactured porcelain tiles while creating employment and adding value to Nigeria’s raw materials. The company also intends to establish itself as a leading supplier across African markets, competing with imported products on quality, production scale and distribution.

Veenocks is part of R28 Group, a Nigerian private investment holding company established in 2007. The group has interests spanning construction, real estate, oil and gas, energy, infrastructure services, aviation, manufacturing and retail, with investments across several industries and asset classes.

From family wealth to manufacturing

Adebisi Adebutu has more than 25 years of entrepreneurial experience across telecommunications, gaming, hospitality, entertainment, construction and property development. He is also the founder and CEO of Biswal Limited.

His father, Kessington Adebutu, founded Premier Lotto, one of Nigeria’s leading lottery businesses, and has investments across several sectors. Through Neemtree Limited, an investment vehicle established in 2013, he has accumulated a 29.59% stake in Wema Bank and significant interests in banking, manufacturing, construction, and oil and gas.

Afreximbank, a pan-African multilateral financial institution, has financed industrial and trade projects across the continent for more than three decades.

The bank also supports the African Continental Free Trade Area through initiatives including the Pan-African Payment and Settlement System, designed to facilitate cross-border payments and strengthen intra-African commerce.