African Export-Import Bank (Afreximbank) has extended a EUR 40-million revolving working capital facility to Cameroonian metallurgical and industrial giant Prometal SA to sustain the continued expansion of its industrial operations.
Afreximbank and Prometal SA signed the facility agreement on 28 September at Afreximbank’s headquarters in Cairo, Egypt. Under the agreement, Afreximbank will provide financing and guarantees required to meet Prometal SA’s working capital needs. Mr. Denys Denya, Senior Executive Vice President of Afreximbank, and Mr. Hayssam El Jammal, Chief Executive Officer of Prometal SA, signed the agreement.
The facility will support processing and transforming semi-processed steel into a wide range of finished steel products, including agricultural equipment and construction materials. It will also boost Prometal SA’s capacity to meet growing demand for steel and metal products across construction, infrastructure, industrial, and agricultural sectors in Cameroon.
Highlighting the significance of the facility, Dr. George Elombi, President and Chairman of the Board of Directors of Afreximbank, said:
“Today, we are reaching a new milestone and entering a new stage in our growth through this strategic partnership with Afreximbank”
“This facility is in step with Afreximbank’s commitment to accelerate industrialisation, ensuring that the continent realises maximum value from its natural resources. By identifying and capacitating African industrial champions, like Prometal SA, the Bank is strengthening Africa’s domestic manufacturing capacity and creating domestic and regional value chains.”
Mr. Hayssam EL Jammal, Chief Executive Officer of Prometal SA, said: “Today, we are reaching a new milestone and entering a new stage in our growth through this strategic partnership with Afreximbank, which demonstrates the Bank’s continued commitment to turning African industrial ambitions into reality.
“Our mixed-matrix strategy combines, on one hand, vertical integration across the value chain from the processing of raw materials to the production of finished goods, and, on the other hand, horizontal expansion into new markets with the clear ambition of producing in Africa goods that are still largely imported today. In doing so, we aim to strengthen African production capacity, reduce dependence on imports and retain greater value within our economies.
“I would therefore like to reaffirm our commit to honoring the trust placed in us by Afreximbank and look forward to building a strong and lasting partnership that will support our industrial development and expansion across Africa, further contributing to the broader industrialization and economic transformation of our continent.”
Prometal SA is a leading metallurgical and industrial group with a significant and growing industrial footprint. Over the years, the group has successfully implemented substantial investments aimed at developing local manufacturing capacity and replacing the importation of products previously sourced from international markets, contributing meaningfully to import-substitution in Cameroon and supporting the government’s industrialisation objectives.
The group is organized around two principal business lines, Prometal Acier and NOVIA Industries. Prometal Acier is the group’s core steel and metallurgical business and a leading player in the regional steel industry with operations across seven industrial plants and an aggregate annual production capacity of approximately 360,000 metric tons of finished steel products.
NOVIA Industries, established in 2018, represents the group’s expansion into the agribusiness sector and has rapidly developed into one of the leading players in its market segment. It has an estimated production capacity of 500 tons per day of edible oil and 160 tons per day of soap, positioning it as a significant producer of refined palm-oil products and related by-products.
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