• Verdant Capital structured a $5 million equity placement for Polysmart Packaging Group.
• The funds will expand food-grade recycled PET production in Nigeria.
• The investment comes as regulatory pressure grows to increase recycled content in plastic packaging.

Verdant Capital has acted as exclusive financial adviser on a $5 million equity placement for Polysmart Packaging Group, one of Nigeria’s leading integrated producers of recycled plastic resins.

The deal, announced Tuesday, March 3, was structured through Verdant IMAP, the firm’s investment banking arm. The funds were raised from a private Africa-focused investor whose identity was not disclosed.

The capital injection will allow Polysmart to expand production capacity and strengthen its recycled polyethylene terephthalate (rPET) processing platform. The company produces food-grade pellets used by beverage makers and bottling companies.

Founded in 2013 and based in Ogun State, Polysmart relies on European technology to meet international standards and maintain its position in both domestic and export markets.

The transaction comes at a time of growing global focus on plastic waste. According to the Organization for Economic Cooperation and Development, global plastic production has doubled over the past 20 years, while only 9% of plastic waste is recycled. Governments and corporations are under increasing regulatory and environmental pressure to incorporate more recycled materials into supply chains.

In Nigeria, packaging accounts for 63% of plastic waste and is often burned, dumped or discharged into waterways, according to the United Nations Environment Program. Nigerian authorities are preparing to implement extended producer responsibility rules, with a target requiring PET bottles to contain 25% recycled plastic by 2029.

The equity placement positions Polysmart to benefit from tightening environmental standards and rising demand for recycled materials in Africa’s largest economy.

SG