LUSAKA, Zambia, Sept. 7, 2021 /PRNewswire/ -- Unified Chemicals announced today that it has signed an agreement with GEM Global Yield LLC SCS ("GEM"), a private investment group, for a EUR 15 million capital commitment towards expansion of facilities and capex projects.
Under the agreement, GEM commits to provide Unified Chemicals with a share subscription facility of up to EUR 15 million for a 36-month term following the public listing of the company shares on a European Stock Exchange. Unified Chemicals will control the timing and maximum amount of drawdown under the facility and has no minimum drawdown obligation. Concurrent to the public listing of Unified Chemicals' shares, GEM will receive warrants to purchase a maximum of 7% of the total shares of the company.
Subject to the funding becoming available, the proceeds will be used to invest in production capabilities including a soya extraction and processing facility as an integration into its current state-of-the-art soya oil refinery as well as other food and home care related lines. These investments will exponentially increase revenue, while simultaneously drop input material costs and result in new primary products catering to new markets.
"We are excited about the GEM offer and to partner with them," stated Amish Patel, Managing Director of Unified Chemicals. "The GEM commitment associated with the public listing will help us to enhance our product portfolio, take advantage in improving our economies of scale and aim to be a market leader in the region. This will be a game-changer for the company and help us to accelerate the steps towards our long-term vision."
About Unified Chemicals
Unified Chemicals is a manufacturer of high-quality vegetable oils and soaps. Established over 42 years ago (est. 1979), Unified Chemicals has consistently produced superior products at an affordable price including the popular Olé and Uni (edible oils) as well as Solo (multi-purpose beauty soap) and Magic (laundry bar and washing powder) brands just to name a few. The company is already recognized as a household name in the oil & soaps markets of Zambia and has been successfully expanding its markets to neighbouring countries in the region. Unified Chemicals has won numerous awards in manufacturing, packaging, product launches, and management excellence.
About GEM Group
Global Emerging Markets ("GEM") is a USD3.4 billion investment group based in New York, Los Angeles, and Paris and has completed over 580 transactions in 70 different countries. GEM manages a diverse set of investment vehicles focused on emerging markets that provide the group and its investors with a diversified portfolio of asset classes that span the global private investing spectrum. Each investment vehicle has a different degree of operational control, risk-adjusted return and liquidity profile. The family of funds and investment vehicles provide GEM and its partners with exposure to: Small-Mid Cap Management Buyouts, Private Investments in Public Equities (PIPEs) and select venture investments.
Contacts
UNIFIED CHEMICALS: www.unifiedchemicals.com
GLOBAL EMERGING MARKETS GROUP: www.gemny.com
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