BN Group to invest $1 billion in Africa to expand edible oil business

Edible oil manufacturer BN Group announced on Tuesday a $1 billion (approx Rs 8000 crore) investment to expand its operations across Africa, targeting emerging markets with a phased deployment over the next five years.

The company, in a statement, said it plans to establish three manufacturing facilities with a combined production capacity of 2,000 tonnes and invest in palm plantations.

BN Group expects to commence operations by the fourth quarter of the fiscal year 2026-2027, projecting 20-25 per cent earnings before interest, taxes, depreciation, and amortization (EBITDA) margins.

The company's Founder and Managing Director, Anubhav Agarwal said the expansion is a strategic move to become a global enterprise, focusing on creating value-driven businesses that cater to diverse African markets.

Initially adopting a direct-to-store retail model, the company aims to build relationships with local retailers before transitioning to a distributor-based network.

The investment includes $400 million (Rs 3,300 crore) for manufacturing facilities and the remainder for plantation acquisitions.

BN Group, which currently operates brands Simply Fresh and Nutrica in India, reported revenues of over Rs 4,500 crore in fiscal year 2024.

The African expansion represents the company's broader strategy to strengthen its presence in the fast-moving consumer goods (FMCG) sector.