IFC proposes $15m loan to Aderinwale for Justrite’s expansion

The International Finance Corporation (IFC) is considering a naira-equivalent loan of up to $15 million for Justrite, the Nigerian supermarket chain founded by Ayodele Aderinwale and his wife, to accelerate its expansion across the country.

The proposed facility, captured in IFC’s investment pipeline, is expected to support the opening of 25 new outlets, marking Justrite’s most ambitious growth move yet and extending the brand’s footprint beyond its traditional stronghold in the South-West region of Nigeria.

From its modest beginnings as a small neighbourhood store in 2000, Justrite has evolved into one of Nigeria’s leading indigenous retail chains, offering organised shopping experiences in urban and rapidly growing peri-urban communities underserved by modern supermarkets.

According to IFC’s filing, the funding will go toward store construction, equipment purchases, job creation, and strengthening partnerships with local suppliers who currently provide most of the chain’s merchandise.

If approved, the investment would be one of the largest development-finance commitments to Nigeria’s formal retail sector in recent years.

Rising energy, logistics, and working-capital costs have posed challenges for retailers nationwide, especially following the 2023 hike in fuel and electricity prices.

Wike launches Clean Air scheme, gives 5,000 homes free gas cylinders 

Justrite’s energy expenses rose sharply during that period, prompting the chain to install solar systems and implement energy-efficiency upgrades at select locations. The IFC loan is expected to bolster these sustainability efforts.

The 25-store expansion will also demand improvements in logistics, warehousing, cold-chain capacity, and digital inventory systems.

Since AfricInvest acquired a 40.4% stake in Justrite in 2022, the Tunisia-based private equity firm has worked closely with the company on procurement, operations, and governance as it prepares for rapid scaling.

Aderinwale, a seasoned entrepreneur and former deputy director of the African Leadership Forum, built the supermarket chain from a single storefront with his wife.

AfricInvest’s entry signalled investors’ growing confidence in homegrown retail brands, and IFC’s proposed financing would further reinforce this trajectory.

Industry watchers said that if the planned 25-store rollout is executed successfully, Justrite could emerge as one of Nigeria’s most scalable supermarket chains, with prospects for additional private-equity investment and possible regional expansion.

While the IFC loan remains under review, its inclusion in the pipeline highlights renewed investor interest in Nigeria’s consumer market after two challenging years of inflation and currency volatility.

The Star