Nigerian Breweries Acquires 29% Stake in Ogun Plastic Recycling Project to Boost Sustainability
Nigerian Breweries Plc has acquired a 29% stake in a recycled Polyethylene Terephthalate (rPET) production facility in Ogun State, marking a major step in its push toward sustainability and responsible packaging. The company disclosed the development in a notice to the Nigerian Exchange, describing the move as part of a strategic partnership aimed at strengthening Nigeria’s recycling ecosystem while ensuring long-term access to recycled plastic materials for beverage packaging.
The project will be developed and operated by global sustainable chemical producer Indorama Ventures Public Company Limited in partnership with Genesis Energy Group. Under the arrangement, Nigerian Breweries will hold a minority stake, while the partners will oversee operations and management of the recycling facility. The venture represents a significant investment in Nigeria’s growing circular economy, where waste materials are converted into reusable resources.
The brewer explained that the partnership is also a strategic response to recent regulatory changes by the Federal Government of Nigeria, which has shifted from voluntary to mandatory waste management policies. By securing a stake in the recycling project, the company will gain priority access to high-quality recycled PET (rPET), an important material needed to comply with the country’s evolving plastic waste management framework.
Operations for the project will be handled through a special purpose vehicle, Indorama Ventures Recycling Solutions Limited. Nigerian Breweries emphasized that while it is a key investor, it will not participate in the control or management of the facility. Instead, the company’s role will focus on supporting the venture and ensuring a reliable supply of food-grade recycled plastic for its beverage packaging needs.
The investment comes as Nigerian Breweries continues its financial recovery and expansion strategy. After a difficult 2024, the company reported a strong rebound in its FY2025 results, posting a pre-tax profit of ₦161 billion and a 35.32% surge in revenue to ₦1.4 trillion. Although the company’s shares dipped slightly after the announcement, analysts note that year-to-date gains of more than three percent reflect investor confidence in the brewer’s sustainability-driven growth and its broader “Beyond Beer” strategy.
source: punch