Financial Struggles Continue
Tantalizer, one of Nigeria’s well-known fast-food chains, has recorded losses for the fifth consecutive year as demand declines and competition increases.
The company’s latest financial report for 2024 shows an after-tax loss of ₦265.6 million, slightly lower than the ₦290.7 million loss recorded in 2023.
Struggles Against Competition
Tantalizer, which was once a popular fast-food brand in Nigeria, has faced stiff competition from both international chains like KFC, Domino’s, and Pizza Hut and local brands like Chicken Republic that offer cheaper options and digital ordering.
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According to Ayorinde Akinloye, a Lagos-based investment analyst, quick-service restaurants are changing their business models to survive.
“Many fast-food brands are shifting to smaller retail outlets because big locations are expensive to manage. More brands are now focusing on cost-effective kiosks and home delivery,” he said.
Retailers Use Discounts to Attract Customers
Fast-food businesses are using trade promotions to boost sales. Between July and August 2023, many restaurants introduced discounts, “Buy One, Get One Free” offers, and free deliveries to attract customers.
“With high inflation reducing people’s spending power, retailers are offering direct promotions to increase sales,” said consumer goods analyst Tola Chukwu.
Tantalizer’s Market Performance
Tantalizer first listed on the Nigerian Exchange (NGX) in 2012, when it recorded a loss of ₦303.5 million after previously making a profit of ₦101.9 million.
As of March 3, 2025, its share price stands at ₦1.95, down from ₦2.25 at the beginning of the year. The company has 5 billion shares outstanding, with a trading volume of 931,700 and a value of ₦1.82 million.
New Owners and Leadership Changes
To address its financial crisis, Tantalizer has received a major investment of over ₦1 billion from private equity firms. Messrs Food Specialties and Organics Limited and Banklink Africa Private Equities Limited have acquired a majority stake in the company.
Alongside this investment, Tantalizer has made leadership changes:
- Robert Speijer, a Dutch national, has been appointed as Group Managing Director.
- Charles Ifidon, former CEO of a Port Harcourt hotel, is now the Deputy Managing Director.
- Adam Nuru has taken over as Chairman of the Board.
These changes are part of the company’s plan to recover financially and compete better in Nigeria’s fast-food industry.