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By Chukwuma Umeorah
Banklink Africa Private Equities Limited has injected an additional N2 billion into Critical Minerals Financing Corporation Plc (CMFC Plc), bringing total capital deployed so far to N3 billion, as the firm moves to complete a N6 billion capitalisation agreement.
The latest funding marks a significant step in the ongoing transformation of DEAP Capital Management & Trust Plc into CMFC Plc, with the balance of the committed capital expected to be delivered within the month, according to the parties.
Chairman of the company, Lamon Rutten, said the additional capital reflects investor confidence in the company’s strategy to operate within Nigeria’s minerals and metals value chain.
“The additional funding commitment is a clear validation of CMFC’s long-term strategy and of the significant opportunity that exists to build a specialised African institution at the centre of the critical minerals value chain. CMFC is not being created simply to finance mines. We are building a platform capable of connecting projects, processors, traders and manufacturers to capital, expertise and international markets. In doing so, we expect to help catalyse an entire ecosystem with profound implications for Nigeria’s industrial and economic future,” Rutten said.
Chief Financial Officer of Banklink Africa Private Equities Limited, Joshua Adesoji, said the fresh injection aligns with the terms of the takeover agreement and reflects expectations that the company will address financing gaps in the mining sector.
“We have increased our commitment according to the terms of our takeover agreement and because we believe CMFC can truly become a genuinely differentiated institution. The company is positioned to occupy a strategic space that has historically been underserved: providing both capital and structuring capability across the full mine-to-market chain. As the transition progresses and the company begins to execute on its pipeline, we believe CMFC will increasingly distinguish itself as one of the most consequential growth platforms linked to Nigeria’s economic diversification agenda,” Adesoji said.
He added that Banklink Africa remains on track to complete the balance of its N6 billion commitment within the agreed timeframe to support transaction origination and execution.
At its recent Annual General Meeting in Lagos, shareholders approved the company’s change of name, capital raising programme and plans to establish partnerships locally and internationally. The approvals formalise its transition to CMFC Plc and provide the framework for raising additional capital.
The company is expected to focus on financing, structuring and scaling investments across the mining and metals value chain, including project finance, commodity trading and export-related activities.
Market watchers said the development comes amid growing interest in Nigeria’s mineral resources, particularly as global demand rises for energy-transition minerals such as lithium, copper and rare earth elements. They, however, note that the sector has been constrained by limited access to structured financing and institutional support.
CMFC’s model is designed to address this gap by providing capital and transaction structuring across the value chain, with the aim of linking mining projects to processing, markets and financing sources.
