Swiss cement giant sells Tanzania business

TANZANIA: SWISS cement giant Holcim has announced plans to sell its subsidiary, Pan African Cement, which holds 65 per cent of Mbeya cement to Amsons Group.

The divestment move, according to a statement issued over the weekend, aimed at aligning with Holcim’s 2025 strategy, ‘Accelerating Green Growth’ which focuses on consolidating leadership in core market.

Holcim’s Lafarge Tanzania Chief Executive Officer Medhat Ismail said the transaction was currently going through the approval process by the relevant authorities.

“This transaction is at a holding level and all operational aspects remain the same until closing, expected in quarter one of next year,” Mr Ismail said in the statement.

Until the completion of the deal, the statement said, operations at Mbeya Cement will continue without disruption, maintaining the business’s momentum and standards.

Holcim reiterates its commitment to its employees at Mbeya Cement, acknowledging their contribution to the company’s growth. Mbeya Cement is worth 160 million US dollars.

“The company values the potential buyer’s commitment to nurturing local talent and fostering a culture that encourages growth and development,” Mr Ismail said.

Additionally, Holcim views the sale agreement with Amsons Group as a positive move for all stakeholders involved.

“It signifies a promising opportunity for a prosperous and profitable future for Mbeya Cement, ensuring continuity and growth for the business,” he said.

The company’s dedication to the well-being, health, and quality of life of its employees, expressing gratitude for their role in building and shaping the business.

Holcim aims to continue delivering excellence in health and safety, industrial standards, cash generation, and profitability, ensuring a smooth transition and sustained operations.

Currently, the Amsons has a prominent presence in the oil and gas and consumer packaged goods sectors across Tanzania, Mozambique and Zambia.

The group’s portfolio also encompasses a cement grinding station and concrete plant in the country, marking its expansion and focus within the construction industry.

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