KIA Africa Group has regained full ownership and operational control of Bacita Sugar Company Limited following the resolution of a longstanding financing dispute with Keystone Bank.
The development brings to an end the receivership period that placed the Kwara State-based sugar company under third-party management after enforcement proceedings were initiated over outstanding financial obligations.
In a statement issued over the weekend, KIA Africa said the resolution followed a “constructive conciliation process” between the group and Keystone Bank. The statement was signed by the Chairman of KIA Africa Group, Engr. Wale Suleiman.
The dispute dates back to March 2025, when a Federal High Court-backed enforcement action resulted in the appointment of a receiver-manager over Bacita Sugar Company as Keystone Bank moved to recover approximately ₦25.36 billion in outstanding debt.
KIA Africa had acquired the company, formerly known as Josepdam Sugar Company, through an Asset Management Corporation of Nigeria (AMCON) process, with financing provided by Keystone Bank. The subsequent disagreements over the financing and redevelopment arrangements eventually culminated in the receivership.
With the settlement now reached, KIA Africa said control of Bacita Sugar Company has reverted to the group and its shareholders.
The company said the resolution was driven by a shared commitment with Keystone Bank to protect the interests of employees, host communities, creditors and investors, while preserving the long-term viability of the sugar estate.
Fresh Investment for Bacita Sugar
As the company resumes full operations, KIA Africa also announced that an undisclosed institutional investor has injected initial capital into Bacita Sugar Company.
Although the identity of the investor and the value of the investment were not disclosed, KIA Africa described the development as a strong vote of confidence in the commercial prospects of the sugar estate.
The group said the fresh capital would support an ambitious transformation programme aimed at repositioning Bacita as a modern and competitive sugar-producing operation.
The planned investments include the modernisation of sugar-processing facilities, rehabilitation of estate infrastructure and expansion of sugarcane cultivation.
KIA Africa also plans to develop large-scale outgrower schemes, upgrade irrigation infrastructure and introduce modern agricultural technologies across the estate.
According to the group, the investment programme is expected to significantly increase production capacity while creating direct and indirect employment opportunities and stimulating economic activity in communities surrounding the estate.
The development is also expected to support Nigeria’s efforts to strengthen domestic sugar production and reduce the country’s dependence on imported sugar.
KIA Africa said it remains committed to working with Keystone Bank and other strategic partners as Bacita Sugar Company enters a new phase of growth and development.
The group expressed confidence that the resolution of the dispute, coupled with fresh investment and planned infrastructure upgrades, would enable Bacita to realise its potential as a major contributor to Nigeria’s sugar industry and broader agro-industrial development.
