Holcim Sells Nigerian Business to Huaxin Cement for $1B

Daba Finance/Holcim Sells Nigerian Unit to Huaxin Cement at $1B Value

BREAKING NEWSDecember 3, 2024 at 8:05 AM UTC

TLDR

Swiss building materials giant Holcim AG has agreed to sell its 83.81% stake in Lafarge Africa PLC to China’s Huaxin Cement Co. for $1 billion.
The deal is expected to close in 2025, pending regulatory approvals, and is part of Holcim’s strategy to streamline its portfolio and focus on core markets.
The sale of Lafarge Africa underscores its broader pivot towards markets with strong demand for sustainable building solutions.

Swiss building materials giant Holcim AG has agreed to sell its 83.81% stake in Lafarge Africa PLC to China’s Huaxin Cement for $1 billion. The sale underscores its broader pivot towards markets with a strong demand for sustainable building solutions.

The deal is expected to close in 2025, pending regulatory approvals, and is part of Holcim’s strategy to streamline its portfolio and focus on core markets.

The divestment aligns with Holcim’s plans to list its North American business in the US next year, leveraging strong demand for sustainable construction materials amid a housing shortage. Holcim has previously exited other African markets, selling its Zambian operations to Huaxin in 2021 for $150 million.

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Key Takeaways

Since 2019, the company has completed over $3.1 billion in divestments, including exits from Zambia and the Indian Ocean region. By shedding non-core assets, Holcim aims to invest in growth opportunities in North America and expand its portfolio of energy-efficient and recycled building materials. This reflects the company’s transformation under CEO Jan Jenisch toward becoming a leader in innovative and sustainable construction solutions.

Business

Nigeria

Holcim AG

Lafarge Africa

Huaxin Cement

Acquisition