MeTL secures record US$340m facility with RMB

East African FMCG success story MeTL secures record facility with RMB 

A renowned East African food and beverage success story has just secured the finance to grow their legacy even further, with the help of RMB. The bank recently acted as financial adviser, lead arranger, facility, and security agent to create a US$340m syndicated working capital facility for East African beverage powerhouse MeTL to expand its beverage footprint in the Fast-Moving Consumer Goods (FMCG) market. This is one of the largest syndicated commodity finance facilities extended to an East African indigenous corporate.

The MeTL Group started in the 1970s as a small trading company and has since grown to become Tanzania’s largest indigenous privately owned conglomerate, comprising of over 30 companies that are diversified over 31 industries and operating in 11 African countries. It contributes approximately 5% of Tanzania’s GDP and employs more than 38,000 people.

Ben Bechet, RMB Head of Structured Solutions says, “We are proud to have been a part of MeTL’s journey for the past 15 years as they continue to demonstrate their prowess and innovation in the FMCG sector.”

The RMB syndicated facility has supported the group’s growth over the past 17-years, with the current round of funding being used for the acquisition, import and storage of commodities. Bechet says, “The group has reached a crucial turning point and, after successfully establishing itself as a household name in Tanzania, is ready to focus on regional growth. With an impressive 70% market share of the carbonated drinks market in Tanzania, a natural use for the increased facility size will be driving its highly successful beverage business across East Africa.”

RMB began their relationship with MeTL over 17-years ago when we provided a $10m commodity finance facility to the MeTL trading business during 2007. Through organic business growth, a strong MeTL management team and sound business strategies, the facility has grown annually to c.$340m in 2024. RMB’s trusted advisor and partnership approach with the METL group has allowed for a successful Syndicated Facility. In addition to this support, RMB recently hosted an Insurance Roadshow in the London market, introducing and showcasing the METL Group business fundamentals and growth prospects, unlocking Lloyds of London capacity for future lending and deals.

RMB arranged the facility with four other lenders, with two more being onboarded across varies jurisdictions. This introduces a welcome diversification of the client’s lender base to include European, South African and Mauritian Lenders. Our partnership also included ongoing financial advice.

Bechet concludes, “MeTL is a true example of African excellence, ambition and innovation. We look forward to continuing to collaborate with them as they use this landmark facility to grow their presence in the region.”

 ENDS