A leading financial institution in Nigeria, Wema Bank andTLG Capital, a leading alternative investment firm, have announced an investment of $10 million for a structured private credit facility in aluminium recycling in Nigeria.
Wole Ajimisinmi, Executive Director of Lagos at Wema Bank, made the announcement recently in Lagos.
Speaking on the partnership with TLG Capital, Ajimisinmi said, “Wema Bank and TLG Capital complishment have set a new benchmark in African banking. Wema Bank has built a reputation for providing tailored financial solutions for our customers, providing optimum returns for all our stakeholders and driving impact across key areas which include Sustainability.”
According to TLG Capital, this investment is expected to create the largest and first industrial-scale aluminium recycler in Nigeria.
The company further stated that the five-year carbon footprint reduction of the project is estimated to be equivalent to removing 100,000 passenger vehicles off the road. Compared to financing solar PV energy in the region, this project offers twelve times greater dollar-for-dollar emissions reduction. The plant will also create 200 jobs for Nigerians.
On his part, Isha Doshi, Partner at TLG Capital said, “The $10 million investment by TLG Capital and Wema Bank revolutionises Nigeria’s aluminium recycling industry, setting a pioneering benchmark in sustainable finance and massive carbon footprint reduction.”
“This investment is one of many by TLG Capital which has taken a unique approach to investing in Nigeria. Unlike many investors deterred by currency fluctuations, TLG partners with reputable Nigerian banks like Wema Bank. This collaboration addresses the challenge of investment exits by involving Wema from the start, ensuring a smooth transition and ongoing support. By leveraging Wema’s local expertise, TLG helps clients achieve maximum success, growth, and operational flexibility.”
To guarantee a successful investment, TLG implements a rigorous 100-day plan. A dedicated representative on the ground verifies financial information, monitors adherence to the business plan, and conducts regular ESG (environmental, social, and governance) impact assessments.