NIGERIA – Lafarge Africa Plc, a cement manufacturer, has announced to the Nigerian Stock Exchange (NSE) that it has resolved to divest its 35 percent shareholding in Continental Blue Investment Ghana Limited (CBI), a company involved in development, financing and operation of a cement grinding plant in Ghana.
The notice signed by Adewunmi Adole, Lafarge’s general counsel and company secretary, said the decision to sell-off its shares in the Ghanaian company was taken during an emergency meeting of Lafarge board of directors.
In the company’s 2019 annual report, Lafarge had said: “As at December 31, 2019, the carrying amount of the company’s investment in Continental Blue Investment (CBI) has been fully depleted, as the losses reported over the years exceeded the carrying amount of the investment”.
It said the approval of the proposed sale of Lafarge South Africa by the shareholders will cut debts service obligation and curtail substantially financial charges which will have a positive impact on liquidity and the opportunity to expand its operations in Nigeria.
Lafarge Africa Plc, a leading Sub-Saharan Africa building materials company is a subsidiary of LafargeHolcim, a world leader in building materials. Listed on the Nigerian Stock Exchange, Lafarge Africa is actively participating in the urbanization and economic growth of Nigeria, the largest economy in Africa.
Lafarge Africa has the widest footprint in Nigeria with cement operations in the South West (Ewekoro and Sagamu in Ogun State), North East (Ashaka, in Gombe State), South East (Mfamosing, Cross Rivers State) with Ready-Mix operations in Lagos, Abuja and Port Harcourt. Lafarge Africa has a current installed cement production capacity of 10.5Mtpa.