Holcim Sells Interest in Lafarge Africa to Xuaxin for $1bn
Chinese Xuaxin and Swiss cement maker Holcim have signed an agreement for the sales of Lafarge Africa Plc for $1 billion, according to a regulatory filing on the Nigerian Exchange.
Holcim announced plans to exit Nigerian business through sales of its total 83.81% stake in Lafarge Africa to the Chinese cement company for $1 billion.
With four plants spread across Nigeria, Lafarge Africa has installed cement production capacity of 10.5 million tons per annum. Details from the deal revealed that the transaction is expected to close in 2025, subject to regulatory approval.
While Holcim moves to exit Nigerian market, the acquisition is part of an expansion plan to Xuaxin cement into the African market. In Dec 2023, Xuaxin completed acquisition InterCement Brazil in South Africa for $265 million
Upon completion, the Huaxin Cement entities will hold a combined 83.81% shareholding in Lafarge Africa Plc. This transaction is subject to regulatory approvals and is expected to close in 2025.
Lafarge Africa Plc will remain listed on NGX and, subject to regulatory approvals, management said in a notice, adding that Huaxin Cement intends to launch a mandatory takeover offer in compliance with applicable laws and regulations. GCR Affirms Tangerine General Insurance Financial Strength Rating of A-(NG)
