Business

SCOA secures N15.5b from Unity Bank, six others for road project

A consortium of seven banks has executed the funding of equipment for the construction of the 380km Abuja-Kaduna-Kano road project to the tune of N15.5 billion.

The facility is being extended to SCOA Nigeria Plc for the importation and supply of 33 trucks and equipment to be deployed for the construction of the roads being handled by Julius Berger Nigeria Plc.

The first phase of the deal was executed this week when 16 trucks were handed over to Julius Berger, statements by the participating banks said.

Banks involved in the transaction are Unity, Heritage, Zenith, Providus, Wema, UBA, Union and Coronation Merchant Bank. According to details, Unity Bank Plc is the major financier with 27 per cent (or N4.24 billion) share of the total facility.

SCOA is exploring a total of N17 billion credit line through its motor and equipment subsidiaries for the project.

The Group Managing Director/Chief Executive Officer of SCOA Nigeria, Dr. Massad Boulos, commended Unity Bank Plc and other banks for extending the much-needed facility to enable it import and supply 33 MAN Platform trucks and equipment to Julius Berger.

“I commend Unity Bank, the managing director and members of the executive management; and the entire team of banks who have worked closely with us on this project,” he said in a statement.

Of the 33 trucks that the total sum covered, 16 were delivered during the first phase and handed over to Julius Berger. The second phase, which will involve the delivery of the remaining 17 trucks, will be executed next month, a statement by Unity Bank said.

Commenting during the official handover ceremony of the equipment to Julius Berger, the Managing Director/CEO of Unity Bank, Tomi Somefun, stated that the involvement of the bank in the project was in line with its strategic business objective to redistribute resources and channel funds to critical sectors of the economy.

“We looked at the strategic importance of this project and how such infrastructure could contribute to stimulating economic activity and decided that Unity Bank must play its part. Unity Bank will continue to provide support to such projects as we have been doing in other critical sectors of the economy such as agriculture,” said Somefun who was represented at the ceremony by Directorate Head, Lagos and southwest Zone, Wale Ogunride.

In a separate statement, Heritage Bank said its participation was motivated by the desire to impact the socio-economic transformation of the country. Its MD/CEO, Ifie Sekibo, said the bank partnered to support SCOA Nigeria for its long and outstanding presence in the automobile market and to retain its cutting edge in their line of business.

Sekibo, who was represented by the Regional Head, Lagos Mainland Zone, Mother Dan-Egwu, disclosed that the bank’s philosophy was to support businesses to grow in their businesses.

“For us at Heritage Bank, our core business philosophy as a timeless wealth partner to our customers is captured in our mission to create, transfer and preserve wealth,” he was quoted as saying.

Back to top button