1. Executive Summary
Agbaku Cattle Ranch is now presented as a Version 2 BOA integrated ranch model. The current workbook is a 21-visible-sheet lender-grade model covering assumptions, herd model, feed farm, dairy, fattening, logistics, transfer pricing, OPEX, working capital, CAPEX, debt, moratorium coverage, P&L, balance sheet, cash flow, ratios, scenarios and model audit.
The initial financing request remains NGN 275 million, supported by NGN 60 million sponsor land equity. Debt terms remain 7 years, 9% annual interest and a 24-month moratorium. The workbook now includes 24 embedded Excel charts and a dashboard covenant panel for lender review.
Version 2 changes strengthen the model around timing, CFADS discipline, circular-economy operating savings and auditability. Manure is no longer treated as a simple sales line; it is prioritized for feed-farm fertilizer replacement, biogas/utility and diesel savings, then external sales.
2. Version 2 Model Architecture
The workbook now uses a 21-sheet structure and includes a TIMELINE_ENGINE in ASSUMPTIONS. The timing engine covers financial close, debt draw, construction start, feedlot start, dairy start, processing start and repayment start, with monthly, quarterly, financial-year, operating-year and debt-year outputs.
The authorized CFADS calculation sits in CASHFLOW as a dedicated waterfall: EBITDA less cash taxes, delta NWC and maintenance CAPEX, plus fertilizer, utility and diesel savings, then debt service and expansion CAPEX. This replaces prior informal CFADS references.
The model remains locked with controlled assumptions and governance tables, while visible appendices support OPEX, CAPEX, funding, debt, circular-economy assets and model-audit checks.
3. Circular Economy And Manure Framework
Manure is treated as an operating asset: 20% allocated to feed-farm organic fertilizer, then biodigester/biogas utility and diesel savings, then residual external sales at NGN 100 per 20kg bag.
DAIRY and FATTENING now contain manure schedules that track manure produced, feed-farm transfer, biodigester allocation, external sales and economic benefit. FEED_FARM contains the organic fertilizer schedule that reduces fertilizer purchases and cash costs.
OPEX and OPEX_APPENDIX include separate savings lines for fertilizer savings, utility savings, diesel savings and generator fuel savings. These are treated as operating cost reductions, not revenue.
4. Financing, DSRA And Covenants
FUNDING_DEBT now includes an enhanced sources-and-uses section covering debt, equity, internal cash, phase CAPEX, working capital, IDC, arrangement fee, commitment fee, legal fee, monitoring fee and contingency. A funding gap check remains visible.
The model includes optional DSRA functionality. DSRA is defaulted to Disabled, but when enabled the target is six months of debt service and the schedule tracks opening DSRA, required DSRA, funding, utilization and closing DSRA.
COVER_DASHBOARD includes a covenant panel for loan amount, debt balance, minimum DSCR, actual minimum DSCR, average DSCR, debt repayment, final debt balance, minimum cash reserve, actual minimum cash, feed self-sufficiency and Year 1 manure benefit.
5. Processing Gate And CAPEX Discipline
Processing is controlled by a commissioning gate: processing may begin only from the later of Year 6 or the first year in which milk production exceeds 500,000 litres. Processing CAPEX and processing revenue are not intended to precede this trigger.
CAPEX_APPENDIX preserves biodigester, 100kVA biogas generator and manure lagoon assets with commission year, useful life, funding source, annual depreciation, NBV and no-depreciation-before-commissioning checks.
6. Dashboard And Charts
The XLSX now includes 24 embedded Excel charts. COVER_DASHBOARD contains charts for revenue/EBITDA/CFADS, DSCR, debt and cash balance, circular-economy KPIs and feed self-sufficiency.
Supporting charts are also embedded in FEED_FARM, HERD_MODEL, DAIRY, FATTENING, CASHFLOW, FUNDING_DEBT and RATIOS_BREAKEVEN, allowing lender reviewers to move from dashboard to operating detail without leaving the workbook.
7. Risk Focus
The core lender risks remain milk price realization, beef/fattening economics, feed self-sufficiency, capex timing, working-capital discipline, production ramp, processing execution and debt service coverage.
Version 2 improves risk visibility by separating operating savings from revenue, adding manure allocation controls, adding DSRA optionality, enforcing a processing gate and adding audit checks for manure allocation, utility/fertilizer offsets, internal-transfer eliminations and commissioning/depreciation timing.
8. Conclusion
The current Agbaku model is now positioned as a BOA Version 2 lender pack: a 21-sheet integrated model with governed assumptions, embedded charts, DSRA optionality, circular-economy operating savings, a dedicated CFADS waterfall and expanded model-audit checks.
Next evidence requirements remain quotations, off-take support, livestock procurement evidence, operating budgets, route-to-market validation, implementation timeline support and lender covenant review.