Rating Release

Agusto & Co. hereby affirms the “A+” rating assigned to Dangote Industries Funding PLC’s (“the Issuer”) ₦10.47 billion 12.75% Series 1 (Tranche A) Senior Unsecured Bond Due 2029 and ₦177.12 billion 13.5% Series 1 (Tranche B) Senior Unsecured Bond Due 2032

The rating expires on 30 June 2026. 

Agusto & Co. hereby affirms the “A+” rating assigned to Dangote Industries Funding PLC’s (“the Issuer”) ₦10.47 billion 12.75% Series 1 (Tranche A) Senior Unsecured Bond Due 2029 and ₦177.12 billion 13.5% Series 1 (Tranche B) Senior Unsecured Bond Due 2032. However, the rating outlook has been revised to negative from stable, following recent outlook change on Dangote Industries Limited (“DIL”, “Dangote Group”, “Co-Obligor” or “the Sponsor”). This change reflects emerging pressures on the Sponsor’s operating margins and cash flows following early-stage commissioning challenges at its refinery that limited throughput. As a result, credit metrics for the Series 1 Bond have deteriorated below Agusto’s typical range for “A+” rated instruments. While management anticipates a near-term recovery, driven by improved currency alignment, enhanced refinery efficiency and growth in non-oil segments, Agusto expects key financial ratios to remain under pressure as elevated grouplevel debts and significant unhedged foreign exchange exposures continue to pose material risks to DIL’s operational performance. Nonetheless, we recognise the Sponsor’s diversified portfolio and the strong market positions held by its subsidiaries across strategic sectors, which support long-term financial stability.