Nigerian confectionery manufacturer, Fastizers, secures $2 million investment from Aruwa Capital

Fastizers, a Nigerian snacks and confectionery manufacturer, has secured a $2 million investment from Aruwa Capital Management, an early-stage growth equity and gender lens fund investing in Nigeria and Ghana.

The company intends to expand both its factory operations and product offerings, with the introduction of a new fully automated line which will be able to produce over 1,200kg of snack foods per hour. The new production facility is expected to provide an additional 100 jobs for the local community.

Founded in 2010 by COO, Deborah Lawson, Fastizers began as a hobby her personal kitchen and has since evolved into a rapidly growing snack food manufacturing company in Nigeria.

Since its establishment in 2010, Fastizers has experienced significant growth in its product offerings. What began with just one snack has now expanded to include seven varieties of delicious snacks available nationwide. The company’s flagship product, Fun Cookies©, has become a household name in Nigeria, establishing Fastizers as a prominent player in the snack food industry.

Fastizers’ humble beginnings trace back to a small-scale business operating from a small kitchen, with an initial capital of N960 ($1.5), catering to the founder’s immediate community of family and friends. However, through determination and innovation, the company has transformed into a multi-million-dollar enterprise with a sprawling 2-hectare production facility. Today, Fastizers produces over 30 metric tons of delectable snacks on a daily basis.

Moreover, the company has expanded its distribution network and now offers its products in 31 states across Nigeria, reaching a wider customer base throughout the country.

Fastizers has set its sights on becoming a prominent player in the thriving Nigerian snack foods industry. With the industry valued at $883 million in 2021 and projected to reach $1.5 billion by 2024, experiencing an estimated annual growth rate of 20%, there is a significant opportunity for Fastizers to establish itself as a leader in this market.

The projected growth in the industry can be attributed to factors such as increased urbanization and population expansion, which are expected to drive higher consumption levels. Specifically, the segment comprising sweet biscuits, snack bars, and fruit snacks, in which Fastizers products predominantly fall, is anticipated to witness substantial sales growth. This segment, which recorded $578 million in sales in 2021, is projected to reach $695 million by 2026, indicating a 20% growth rate. This growth further highlights the potential opportunities available to Fastizers, particularly as consumers often seek more affordable alternatives to foreign brands.

With these favourable market conditions and the growing demand for snack foods in Nigeria, Fastizers is well-positioned to capitalize on the industry’s potential and establish itself as a leading player in the market.

Being a homegrown producer of snack foods, Fastizers not only contributes to the growth of the Nigerian snack food industry but also plays a vital role in job creation and economic opportunities for local stakeholders. With a commitment to supporting local industries, Fastizers sources more than 70% of its raw materials from within Nigeria, thereby stimulating the local economy.

With the completion of the new automated line, the Company plans to introduce a variety of new products to target a wider range of consumers. This development paves the way for the introduction of an exciting array of new products, aimed at catering to a broader spectrum of consumers. These upcoming products will complement the already delightful range of snacks offered by Fastizers, including popular choices such as Nibit©, Sweetstix©, and FunCookies©. These snacks are currently accessible through various distribution channels across Nigeria, facilitated by Fastizers’ extensive distribution network.

According to Debby Lawson, Founder & COO of Fastizers, “We are excited to partner with Aruwa Capital in our journey and welcome them as the first institutional equity investors in our business. This investment takes Fastizers to the next level. We can meet increased demand for our products by expanding our production capacity which has been one of our biggest challenges in recent years. This investment will also allow us to expand our distribution network giving us the ability to continue providing our range of delicious snacks to our consumers both within and outside Nigeria. We are grateful to the Aruwa Capital team for their belief in our vision and look forward to the additional strategic benefits this partnership holds for Fastizers.”

In her response, Adesuwa Okunbo Rhodes, Founder & Managing Partner of Aruwa Capital said, “We are thrilled to announce this investment and support the long-term growth of Fastizers as it aligns with our investment objectives and our determination to back indigenous female founded businesses that lack access to patient growth capital. Since inception, the Company has continued to grow into a household name in the snack foods sector in Nigeria, with its products becoming increasingly popular across Nigeria. This investment supports our ethos of enhancing import substitution by backing a local manufacturer of snack foods that can match foreign brands in areas of taste, quality, and consistency. In line with Aruwa’s gender lens investing strategy, Fastizers is founded and led by a woman with over 46% female ownership, 45% female representation across its workforce, and 59% female representation amongst its distributors. We are very confident in the Company’s ability to scale across Africa and are thrilled to be partnering with this dedicated team for the exciting journey ahead.”