S&P Global has agreed to acquire a majority stake in Agusto & Co., Nigeria’s pioneer credit rating agency, in a deal expected to reshape the industry and deepen the global ratings firm’s presence across Africa.

The American financial information and ratings company announced the agreement yesterday, describing it as a strategic investment that would expand its footprint in Africa’s domestic capital markets.

The financial terms of the transaction were not disclosed.

Founded in Lagos in 1992 by the late economist and chartered accountant, Bode Agusto, Agusto & Co. is Nigeria’s first indigenous credit rating agency. Over the past three decades, the firm has established itself as a leading provider of credit ratings and research, serving banks, corporates and other institutions in Nigeria as well as clients in Kenya, Ghana and Rwanda.

The acquisition marks S&P Global’s first direct investment in an African company, although its Commodity Insights business already has operations in Abuja.

Following the completion of the transaction, Agusto & Co. will continue to operate as a distinct ratings agency, retaining its brand and methodologies while operating within applicable regulatory frameworks.

President of S&P Global Ratings, Yann Le Pallec, said the partnership reflects the company’s commitment to strengthening transparency and efficiency in Africa’s domestic credit markets.

He noted that Africa presents significant growth opportunities and said combining S&P Global’s international expertise with Agusto & Co.’s local market knowledge would enhance credit market development and improve investor confidence across the continent.

Managing Director of Agusto & Co., Yinka Adelekan, described the deal as a milestone for the company and Africa’s capital markets, saying it fulfils the vision of the firm’s founder to establish a partnership with a globally recognised rating institution.

According to him, the transaction would strengthen the credibility of domestic credit markets while expanding opportunities for issuers and investors across the region.

Further details of the transaction, including its valuation and expected governance structure post-acquisition, are yet to be made public.