Our Corporate Social Responsibility (CSR) objective for 2010 was focused on the welfare of the Nigerian Child. In our drive to give back to the host communities in which we operate, we decided to focus on a microcosm of the Nigerian Child. The aim was to focus on a project that would maximally impact immediately and continuously in the every day life of a microcosm of the Nigerian Child.

In consideration of this objective, our Corporate Services Division carefully selected the Government Secondary School, Akim, in the heart of Calabar town in Cross Rivers State. After carrying out a survey on the needs of the various schools in Cross Rivers State, the conclusion was reached that the needs presented by the Principal of the Government Secondary School, Akim, Calabar offered us an avenue to maximally impact on the lives of the students.

The school lacked the most basic necessity to aid and equip young pupils who would one day be the next generation of leaders for this country. They lacked Water! The school had no source of portable water for its students. With a population of over 2,000 students, we decided that by providing the school with a bore-hole facility, we would be doing the greatest good to the pupils and teachers.

Major factors that informed the decision to assist the Government Secondary School, Akim was that on an almost daily basis, the school administration had to buy portable drinking water at the rate of N7,000 per tanker required for their consumption and for the general use in the school, which was clearly unsustainable. Secondly, it was alarming to note that due to the non-availability of portable drinking water, it was commonplace for the pupils to contract communicable disease resulting from bacteria infections due to their inability to wash their hands after engaging in every-day school activity.

Our primary objective of carrying out a CSR initiative that would impact immediately on the health and learning conditions of today’s Nigerian child was immediately channeled to the provision of a Bore-hole water facility with a 4,000 litre-capacity holding tank that would immediately and continuously alleviate the sufferings of the pupils in their quest to source water required for their daily needs and consumption in Akim, Calabar, Cross Rivers State.

In addition, as a reflection of the current dilapidated state of the education sector in Nigeria today, the Government Secondary School, also lacked the minimum standards required for a conventional learning environment and in consideration of this, we decided to donate two (2) HP Computers to the school to enable these children learn and update their computer skills which has become vital and necessary to the survival of the Nigerian child in the 21st Century.

The borehole facility was commissioned on the 9th day of December 2010 by the Cross Rivers State Commissioner for Education, represented by Arc. Daniel Ebong, (Director of Projects), who on behalf of the Government of the Cross Rivers State paid glowing tributes to Food Concepts Plc in partnering with the State Government in the area of education, which is the major focus of the current Governor Liyel Imoke-led administration. He further lauded the efforts of the Company for bringing smiles to the faces of the thousands of students in the school now (and others to follow) who will benefit from the use of the borehole facility and the computers.

The Principal, Teachers and Students of the school expressed their profound gratitude and appreciation to Food Concepts Plc for providing their school with the much-needed water supply and prayed unceasingly for the continued progress for the Company and all its employees.

IFC will provide a financing package consisting of a US$13 million common equity and US$7 million loan investment in the Company. IFC will also support the Company on improving, social, safety, and corporate governance standards in line with international standards.

According to Deji Akinyanju, founder and CEO of Food Concepts, “IFC’s long-term capital and loan will allow Food Concepts implement its long-term growth strategy. IFC’s global expertise will also enable Food Concepts become a leading regional quick service restaurant and bakery operator, using best practices in corporate governance, insurance, financial management, and environmental and social matters.”

Nigeria’s agribusiness sector is a key strategic priority for the IFC in light of the growing challenge of food security in Africa. The sector’s significance is further underscored by its employment of a large percentage of Nigeria’s labor force especially the rural population and strong linkage impact on micro, small and medium-sized enterprises. IFC’s investment in Food Concepts Plc reflects the organization’s commitment towards supporting viable local companies operating in Nigeria’s agribusiness value chain, as well as IFC’s confidence in the growth potential of the quick service restaurant as this will be the second operator that IFC is supporting in this industry.

“IFC’s investment in an indigenous and fast growing retail company is a signal of the viability of Nigeria’s private sector and demographic trends, in particular increasing urbanization and related growth of middle-class consumers. The investment which is expected to increase employment and yield benefits for suppliers of inputs (mostly MSMEs) of the Company’s restaurant and bakery businesses is well-aligned with IFC’s strategy for Nigeria” said Solomon Adegbie-Quaynor, IFC’s Country Manager of Nigeria. “Our partnership with Food Concepts will also help development of reliable food supply chains and strengthen the competitiveness of West Africa’s agribusiness and food-processing sector, which is vital to the region’s development.”

About IFC

IFC, a member of the World Bank Group, is the largest global development institution focused on the private sector in developing countries. We create opportunity for people to escape poverty and improve their lives. We do so by providing financing to help businesses employ more people and supply essential services, by mobilizing capital from others, and by delivering advisory services to ensure sustainable development. In a time of global economic uncertainty, our new investments climbed to a record $18 billion in fiscal 2010. For more information, visit www.ifc.org.

Mr. Deji Akinyanju, Managing Director of the company made this known in an inter view with THISDAY in Lagos. He disclosed that the plant with anticipated capacity ranging between 30,000 to 40,000 birds per week is likely to be located around Ota, Ogun State.

Fielding questions on how the company intends meeting its supply needs when it finally increases its outlet across to about 3,000 in the next years, he said the company’s is aware of the difficulties that may arise in the area of supply of chicken for its recipe .He therefore allayed the fears of customers and investors in the company over a possible short supply of its necessary raw materials, saying that the company has entered into a joint venture that would ensure that chicken are being processed locally to meet the demands of the local market.

“What is happening now is that we have a few chicken processing plants and sometimes during festive periods, we run out of stock. If we are growing at a similar pace even as new entrants are coming in, surely this is going to affect supply.

We are at various stages of discussions with chicken processing plants in Holland and Zimbabwe to partner with us to set up a chicken processing plant in Nigeria. We have a site secured in Otta, Ogun State and we will be partnering with strategic partners in setting up chicken processing plants tht would be producing up to 30,000 to 40,000 birds per week,” he disclosed.

The seven years old Food Concepts trades under four major brands including a fast food restaurant franchise (Chicken Republic ), Pizza franchise (St. Elmos’), Bakery franchise (Butterfield) and an upscale, fine dinning restaurant (Reeds Thai Restaurant).

The company also disclosed that Nigeria would be the hub of Chicken Republic activities with a total of 300 outlets in the next 5years followed by the southern African market with a total of 150 at the expiration of the gestation period.

Mr. Paul Farrer, Chief Operations Officer (COO) of the company made this disclosure in an interview with THISDAY in Lagos. He stated that the company has already started out with this optimistic project and has since opened up an outlet in South Africa.

“The company is aiming at rolling out 1,000 Chicken Republic Stores across Africa over the next 5years and we have already started driving this objective with the opening of our first Chicken Republic in South Africa in November last year”, he stated.

Mr. Deji Akinyanju, founder and Chief Executive Officer of the company has also confirmed that the main market for the Chicken Republic franchise on the continent with about 300 of the 1000 stores planned for opening in the next 5years.

The number of outlets allocated to Nigeria according to Akinyanju is a reflection of the large population of the country and an indication that Chicken Republic sees Nigerians as its target customers and strongly believes in the renaissance of the Nigerian Middle class.

“Food Concepts also intends to grow its Chicken Republic brand aggressively in the South African market with plans to roll out over 150 stores within the next 5years”, he added.

According to Food Concepts’ Chief Executive, the company has plans to leverage on the well-established franchise that exists in the South African market to increase its market share in the country.

Other countries in Africa that the company intends extending its service to include Ghana, Senegal, Ivory Coast, Mali, Sierra Leone, Rwanda, Kenya, Mozambique, Zambia and Uganda.

Food concepts started operations in 2001 and it is the owner of four major brands, including the popular fast food restaurant franchise, Chicken Republic, Pizza franchise (St Elmo’s), Bakery franchise (Butterfield) and an upscale fine dining restaurant (Reeds Thai Restaurant).

The company is currently putting finishing touches to the ongoing private placement of its shares by which means it intends raising fresh capital to be used for its ongoing aggressive expansion drive. The shares in view would be listed on the Nigerian Stock Exchange (NSE) before the third quarter of this year hopefully.

In a statement on Thursday, he said the company has already started driving the objective with the opening of its first Chicken Republic store in South Africa in November 2007.

Food concepts, which started operations in 2001, owns four major food brands, which include a fast food franchise, Chicken Republic; pizza franchise, St Elmo’s Pizza; bakery franchise, Butterfield Bakery; and an upscale fine dining restaurant, Reeds Thai Restaurant.

The founder and Chief Executive Officer, Mr. Deji Akinyanju, further stated that Nigeria would be the main market for the Chicken Republic franchise on the continent with about 300 out of the planned 1000 stores.

He said, “This is due to the large population size of Chicken Republic’s target audience and our strong belief in the renaissance of the Nigerian Middle class”.

The statement added that Food Concepts was planning to grow its Chicken Republic brand aggressively in the South African market with plans to roll out 150stores within the next 5years.

“The company has made plans to leverage off the well established franchise system that exists in South African market”, the statement added.

Other countries in Africa that the company intends to target include Ghana, Senegal, Ivory Coast, Mali, Sierra Leone, Rwanda, Kenya, Mozambique, Zambia and Uganda.

The company is currently concluding plans to embark on a private placement, which will enable it raise fresh equity funds from the market to be used for its expansion drive and intends to list its shares on the Nigerian Stock Exchange by the end of the second quarter of 2008.