Kalambaina Cement to merge with CCNN

Kalambaina Cement to merge with CCNN
30 November 2018

BUA Group’s Kalambaina Cement Co has announced it received shareholder approval for a merger with the Cement Company of Northern Nigeria (CCNN). Abdul Samad Rabiu, chairman of the company, has stated that the deal would involve a high technical and complex infusion of the two companies.

"This deal signposts shareholder confidence in the value proposition of the CCNN-Kalambaina merger and we are certain that the new entity can compete effectively in the cement industry in Nigeria whilst maintaining its market dominance in this region. The new, enlarged CCNN is a stronger platform to capture significant synergies and create value for the benefit of the shareholders in the form of stronger competitive position, economies of scale, enhanced operations and administrative efficiencies which are expected to accrue" said Mr Rabiu.

The deal is awaiting final regulatory approval by the Securities and Exchange Commission. When concluded, CCNN will have a total installed capacity of 2Mta and is set to become the dominant player in the key regional markets of northern Nigeria with access to export markets in west Africa.

Published under Cement News