After more than six decades of operation in Nigeria, Swiss multinational Holcim has announced its decision to exit the country.
The construction giant plans to sell its 83.8% stake in Lafarge Africa Plc to China’s Huaxin Cement in a deal valued at $1 billion.
The transaction, which requires regulatory approval, is expected to be finalized by 2025.
The decision aligns with Holcim’s global strategy to streamline its operations, prioritize high-growth markets, and focus on sustainable initiatives.
The company has been divesting from less strategic markets, including Zambia, where it sold its majority stake to Huaxin Cement in 2021.
Lafarge Africa, formerly known as the West African Portland Cement Company (WAPCO), began operations in 1959 and has been a significant player in Nigeria’s building materials industry.
The company operated plants in Ogun, Cross River, and Gombe states, with an annual production capacity of 10.5 million tons.
Lafarge is well-known for its popular brands, including Elephant Cement and Supaset.
Huaxin Cement, the buyer, boasts a 116-year history in the cement industry and is among China’s leading manufacturers. This acquisition provides Huaxin with an opportunity to strengthen its presence in Africa, leveraging Lafarge’s established infrastructure to expand in Nigeria, one of the continent’s largest markets.
For Holcim, the exit is part of a broader strategy to concentrate on high-margin products and sustainable innovations, such as low-carbon cement. The company’s shift underscores its commitment to redefining its portfolio to align with global sustainability goals and high-growth regions.