By Yinka Kolawole
Emzor Pharmaceutical Industries has raised a $19.8 million (N26.7 billion) Series 1 Fixed Rate Bond on the FMDQ Group Exchange, in a major move to strengthen local pharmaceutical manufacturing and complete West Africa’s first full-scale anti-malarial Active Pharmaceutical Ingredient (API) manufacturing facility.
The bond, issued through Emzor’s special purpose vehicle, Emzor Pharma Funding SPV Plc, carries a 19 percent coupon over a five-year tenor. It forms part of the company’s broader N40 billion ($29.6 million) bond issuance programme and represents Emzor’s second domestic bond, following strong investor demand that resulted in the issue being oversubscribed.
The funds are expected to support working capital, expand manufacturing capacity and accelerate the completion of the API facility.
The transaction marks a significant step in Emzor’s evolution from a local medicine manufacturer into a producer of critical pharmaceutical inputs, while also supporting Nigeria’s efforts to reduce dependence on imported medicines and raw materials.
Founded in 1977 by pharmacist Stella Okoli as a small chemist shop in Lagos, Emzor has grown into one of Nigeria’s leading pharmaceutical manufacturers, with more than 120 medicines across 16 therapeutic categories.
A major component of the company’s investment programme is the completion of its anti-malarial API plant. APIs are the active subst
ances in medicines responsible for producing therapeutic effects. Much of the global supply of pharmaceutical ingredients is concentrated outside Africa, leaving local manufacturers exposed to disruptions in international supply chains, foreign exchange shortages and exchange-rate volatility.
Local production of APIs could therefore help reduce some of these vulnerabilities by strengthening domestic pharmaceutical supply chains and improving manufacturers’ access to critical inputs.
For Nigeria, where dependence on imported pharmaceutical ingredients and finished products remains significant, the investment could contribute to greater supply security, reduce import-related cost pressures and support the development of a more resilient pharmaceutical manufacturing ecosystem.
Emzor’s latest fundraising thus goes beyond financing expansion, signalling a broader push towards deeper local value addition in Nigeria’s pharmaceutical industry.
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