Table of Contents
Key Points
- Holcim divests its 58.6% stake in Bamburi Cement for $100 million to Tanzania's Amsons Group, led by businessman Edha Nahdi.
- Amsons now controls 76.6% of Bamburi after earlier acquiring an 18% stake for $70M, following regulatory approval.
- The acquisition strengthens Amsons’ position in East Africa’s booming infrastructure sector, leveraging Bamburi’s market leadership to drive regional growth.
Holcim Group, the global leader in sustainable building solutions, has divested its 58.6 percent stake valued at $100 million in Bamburi Cement Limited to Amsons Group, a Tanzanian family-owned conglomerate led by businessman Edha Nahdi.
The move follows Amsons’ earlier purchase of an 18 percent stake in Bamburi Cement for $70 million after receiving regulatory approval.
Strategic move to strengthen Kenya’s infrastructure sector
The divestiture is part of Holcim’s ongoing strategy to streamline its portfolio and concentrate on key markets with stronger growth potential.
For Amsons, the deal marks a significant step in its ambition to consolidate Bamburi Cement’s leadership in East Africa’s competitive infrastructure sector.
The deal was overwhelmingly endorsed by 96.54 percent of Bamburi’s shareholders, signaling strong confidence in Amsons’ long-term vision for the cement giant.
Bamburi Cement’s legacy in East Africa
Established in 1951, Bamburi Cement has played a pivotal role in Kenya’s infrastructure development, having been a key supplier for major projects across the region. The acquisition of Bamburi by Amsons provides an opportunity to scale up operations and further entrench the company’s role in the region’s rapidly expanding construction industry.
Holcim, which posted net sales of over CHF27 billion ($30 billion) in 2023, has been reshaping its portfolio with an eye toward North America and other high-growth markets. This includes its recent $1 billion sale of a majority stake in Lafarge Africa, further consolidating its global positioning as a leader in sustainable construction materials.
Amsons Group sees strong growth potential
The recent acquisition marks a significant milestone for Amsons Group, a conglomerate that has rapidly diversified its operations since its founding in 2008. Initially established as a bulk oil importer, the group has expanded its portfolio to include fuel, liquefied petroleum gas, transportation, real estate, and cement, demonstrating a consistent focus on strategic growth.
This acquisition of Bamburi Cement is a natural progression of Amsons Group’s ambition to strengthen its foothold in East Africa’s booming construction and infrastructure markets. By leveraging Bamburi’s market leadership, the group aims to drive regional growth and cement its presence as a key player in the sector.
With Kenya’s Ministry of Mining granting approval for the $182 million deal, Amsons is strategically positioned to seize emerging opportunities in the burgeoning East African construction landscape, further solidifying its status as a regional powerhouse.
