Nigerian Breweries acquires 29% stake in Ogun rPET facility, strengthening sustainability efforts and compliance with national plastic waste regulations

Nigerian Breweries Plc has acquired a 29% stake in a recycled Polyethylene Terephthalate (rPET) production facility in Ogun State as part of a strategic push to enhance sustainability and comply with new national waste management regulations.

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The company formally notified the Nigerian Exchange of its entry into a partnership establishing a food-grade recycling venture, in collaboration with global chemical leader Indorama Ventures Public Company Limited, which will act as the majority partner, and the Genesis Energy Group.

The facility will be developed under a special purpose vehicle, Indorama Ventures Recycling Solutions Limited.

Nigerian Breweries, as a minority investor, will not participate in day-to-day control or management, but the stake ensures priority access to high-quality recycled plastic essential for beverage packaging.

“The partnership secures a reliable future supply of rPET for NB operations, in line with the roadmap for mandatory usage under national policy,” Nigerian Breweries said.

The venture aligns with the company’s broader environmental strategy and is expected to strengthen the local recycling value chain by converting post-consumer PET bottles into food-grade resin safe for beverage production.

The timing coincides with a period of financial recovery for Nigerian Breweries. Following a challenging 2024, FY2025 results revealed a pre-tax profit of N161 billion, supported by a 35.32% rise in sales to N1.4 trillion.

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Shares experienced a midday dip of 1.39% after the announcement, but market analysts cited the company’s year-to-date growth of over 3% as evidence of investor confidence in its sustainability and “Beyond Beer” expansion strategy.