Nigerian pasta maker Dufil Prima Food plans to raise 40 billion naira ($131 million) from the local debt market to broaden its funding base, it said on Monday.

The privately held company, set up over two decades ago, has grown to become the largest pasta maker in West Africa, it said. It competes with listed rival such as Dangote Flourmill, Flour Mills of Nigeria and Honeywell Flour Mills.

Dufil also makes cooking oil.

Several Nigerian companies have said they want to tap debt markets this year but local inflation still above 16 percent have kept bond yields high, leaving many firms undecided on timing of issue.

Dufil Chief Operating Officer Madhukar Khetan said in a statement that the issue has been approved by the Securities and Exchange Commission but that the timing of sale was subject to market conditions.

Nigeria is in its second-year of recession brought on by lower oil prices, which has also affected markets and businesses.

Dufil has appointed Stanbic IBTC Capital, the local unit of South Africa’s Standard Bank to arrange the debt. (Reuters)