By Radarr Africa Business Desk
LAGOS, November 14 (Radarr Africa) – Seven of the largest non-bank borrowers on the Nigerian Exchange cut their combined borrowings by about N2.26 trillion in the nine months to September 2026, according to third-quarter filings and results releases from more than 30 listed non-bank companies.
Dangote Cement made the largest cut. Its borrowings fell by N536 billion, nearly half, to N580 billion from N1.12 trillion at the end of 2025. It repaid N209.6 billion of commercial paper and cleared a N299.6 billion loan from its parent, and its nine-month interest expense fell 63% to N102.9 billion. Related-party loans dropped to N63.8 billion from N373 billion.
Among oil producers, Oando cut borrowings by 20% to N2.16 trillion, and Aradel reduced its debt by about a quarter after it had swelled past N2 trillion. Seplat’s debt fell to $792 million from $1.01 billion.
MTN Nigeria cut borrowings by 37% to N333 billion, even after paying N860.8 billion in dividends. Nigerian Breweries, which owed N137 billion a year earlier, now owes nothing.
The filings show a shift away from parent and related-party lenders. Nestlé Nigeria’s debt, mostly an intercompany loan, fell 10% to N426 billion. Cadbury Nigeria cut its Mondelez loan by about a third to N14.9 billion. Ellah Lakes converted N7.1 billion of directors’ loans into equity at N2.80 a share. Fortis Global Insurance replaced a yen-denominated loan from Daewoo Securities with a convertible bond.
Fidson Healthcare moved from notes costing 23% to 24.75% to loans from the Bank of Industry, at 14% to 15%, and Nigeria’s export-import bank, at 9%. Its interest bill fell 27%.
Borrowing costs varied widely. BUA Cement pays about 9%, mainly on an International Finance Corporation-syndicated dollar loan, and Airtel Africa’s average rate fell to 10.1% from 12.4%. Cadbury pays about 10% on its Mondelez loan. Smaller firms reliant on Nigerian banks pay close to 30%, against roughly 8% to 10% for those funded by development lenders or foreign parents.
Beta Glass pays about 29% on N40 billion of bank loans, and its interest bill rose 67%. Its filings show it lent N48.4 billion to its parent, Packaging Industries, and of N8.2 billion in accrued interest on that loan, only N2.4 billion was repaid in cash. Conoil is funded entirely by overdrafts costing about 32%, and the overdraft grew 18% to N64.8 billion.
Not every company reduced debt. BUA Cement drew N233 billion of new loans, lifting borrowings 25% to N657 billion. It held N266 billion in cash, so net debt was about N390 billion. Exchange gains of N36.1 billion would reverse if the naira weakened.
Julius Berger took a N67.4 billion long-term loan. Advance payments from clients fell by N121 billion to N409 billion, and capital spending rose to N36.3 billion from N6.8 billion.
VFD Group’s notes and private placements more than doubled to N151.7 billion, and about 89% of its debt is short-dated and must be rolled over.
Oando paid N143.9 billion in interest, about half its nine-month operating cash generation. It plans to raise up to N500 billion in equity, including a N220 billion rights issue pending with the Securities and Exchange Commission, alongside a $300 million debt-to-equity conversion and a refinancing programme of up to $1.5 billion.
The interest rates are approximations, calculated by annualising nine-month interest and dividing by average debt. Airtel Africa, whose debt is in US dollars and flat, was excluded from the aggregate paydown figure.
