The New York-based private-equity firm Milost with $25 billion committed capital is set to invest $21 million to oil-services company Japaul Oil & Maritime Services Plc and another $10 million to Resort Savings & Loans Plc.
Thank you for reading this post, don't forget to subscribe!Milost will also focus on its other investments in Nigeria, Chief Executive Officer Kim Freeman said in the statement.
Meanwhile Milost Global Inc.has ended talks to provide $1 billion to Nigeria’s Unity Bank Plc, saying it received threats that it will be run out of the country if the deal continues.
The New York-based private-equity firm had agreed to provide debt and equity on the understanding that Unity would delist in Nigeria to have its stock traded in the U.S., Milost said in an emailed statement on Monday. The term sheet was signed and approved by the board of Unity, which needed the capital to strengthen its balance sheet and to expand, the firm said. It would ultimately have acquired 60 percent in the Lagos-based bank.
Other Investments
Some small- and mid-sized Nigerian lenders are battling to rebuild capital levels after a slump in world oil prices left the country short of foreign currency. The economy shrunk in 2016, making it difficult for businesses to repay loans.
The private-equity firm has said it is targeting companies that trade at less than half of their intrinsic value. It’s using a facility that it calls the Milost Equity Subscription Agreement, which combines debt and equity.
In February, Japaul Oil announced it had signed a $350 million financing agreement with Milost, which would be channeled towards its mining projects.
In January, Milost Global acquired Primewaterview Holdings Nigeria Limited for $1 billion. Primewaterview is a diversified holding company with a portfolio of real estate, oil & gas, quarry mining, healthcare and power.
Milost Global, founded by Mandla J Gwandiso in 2015 is an American private equity firm headquartered in New York, with more than $25 billion in committed capital. The company also serves as provider of alternative capital, mezzanine finance and alternative lending to a broad range of industries across the globe including technology, transport, cannabis, education, distribution, mining, oil & gas, financial services, healthcare, pharmaceuticals, real estate, alternative energy and infrastructure development.
On the other hand, Resort Savings & Loans commenced business on November 29, 1993 as a primary mortgage institution (PMI). The Bank has done active business in leasing and credit facilities, property acquisition management and fund management.
