Stanbic IBTC Bank PLC, a member of the Standard Bank Group, has signed a $12million medium term facility with Aptics Nigeria Limited as part of the $28 million required to finance the construction of Grand Towers Abuja Malls (GTAM).
The transaction is to finance a retail mall to be developed and owned by Aptics Nigeria Ltd, a special purpose vehicle whose shareholders are Novare Investments SA (75 per cent) and Grand Towers Realty Limited (25 per cent).
Aptics Nigeria Limited will develop and own the mall to be anchored by Retail Super Markets Nigeria Limited (Shoprite) and will provide approximately 8,300 square meters of gross lettable space in its Dutse District location in Abuja.
Mr. Yinka Sanni, Deputy Chief Executive Officer of Stanbic IBTC Bank, said the deal reinforces the bank’s leadership role in the private sector led funding of retail sector infrastructure in various parts of Nigeria.
“This project is yet another testament of our commitment and leadership role in funding infrastructure development across Nigeria, which is founded on our deep belief in Nigeria and our confidence in its massive developmental potential,” Sanni stated.
Nigeria’s retail space, which is largely dominated by large traditional markets, is witnessing the transition from the corner stores in urban neighbourhoods and large unorganized trading clusters, to large, organized supermarkets that give many more options to shoppers.
Prior to this, Stanbic IBTC Bank had financed ultra-modern malls in major cities across the country, including Polo Park Shopping Mall in Enugu and the Ikeja City Mall in Lagos.
Stanley Duru, Chief Executive Officer of Grand Towers Realty Limited, described the transaction and Aptics Nigeria Limited’s partnership with Stanbic IBTC Bank as a remarkable milestone towards actualizing the vision of establishing malls that will make Grand Towers Mall a household name in various parts of the country.
“Our company’s vision in the next five years is to build 10 shopping malls across the country.
“At the moment, in Lagos, we have secured five sites; we also plan to be in Port Harcourt, Asaba, Owerri, Abeokuta, Ibadan, Kano, Kaduna and other places, where Grand Towers Malls will create jobs, besides enabling people to find the best deals in a comfortable environment,” Duru stated.
Also reinforcing the bank’s commitment to grow Nigeria’s economy, Niyi Adeleye, Head, Property Finance of Stanbic IBTC Bank, stated, “We are committed to supporting infrastructure development of all types, including real estate.
“We are delighted to be a part of this landmark transaction that would significantly boost the retail offering in the Federal Capital Territory – Abuja, and in so doing, drive growth in the agriculture, logistics, financial and technological sectors, among others, thereby creating job opportunities and an outlet for the growth of local enterprise within the country.”
In addition to being Mandated Lead Arranger on the transaction, Stanbic IBTC Bank Plc is also the Facility Agent, Account Bank, and Collateral Agent Bank for the 10 year facility.
Stanbic IBTC Bank PLC is a member of the Standard Bank Group, a leading African banking group focused on building the first-class on-the-ground banks in chosen countries in Africa and connecting other selected emerging markets to Africa and to each other.
It has a footprint which now spans 17 countries across the African continent, including South Africa, and 13 countries outside Africa, including China and Brazil, which are key to our cross border strategy and success.