FrieslandCampina WAMCO expands footprint in Nigeria with acquisition of Nutricima dairy business
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Onome Amuge
FrieslandCampina WAMCO, the Dutch-owned multinational dairy production company has finalised agreements validating the purchase of Nutricima’s dairy business in Nigeria, a statement signed by Ore Famurewa, the company’s executive director, corporate affairs, and made available to Business A.M. in Lagos has dislcosed.
Prior to the eventual acquisition, Royal FrieslandCampina headquartered in the Netherlands and PZ Cussons, a major British manufacturing company with a subsidiary in Nigeria had signed an acquisition agreement in March 2020. Both companies had exchanged contracts for the sale of the assets associated with PZ Cussons Nigerian dairy business, Nutricima, to be purchased by Friesland WAMCO Nigeria Plc.
Under Nigerian law, completion of a transaction is subject to merger clearance and as a result, the recent acquisition agreement implies that Nutricima’s dairy business has been integrated into FrieslandCampina WAMCO Nigeria Plc.
Nutricima Limited, which has officially ceased operations in Nigeria, was established in the country in 2005 with a production facility located in Ikorodu, Lagos. The company earned itself consumer awareness within the dairy industry and its brands enjoyed a great presence with its unique brands, Olympic, Coast and Nunu, a range of powdered, evaporated and ready-to-drink milk products which enjoyed a good presence in the country’s dairy market.
Roel Van Neerbos, president of FrieslandCampina Consumer Dairy, speaking on the acquisition, stated that the purchase of Nutricima is a demonstration of the company’s strong commitment to Nigeria and its dairy market.
According to him, the acquisition is expected to satisfy the need for additional production capacity to meet the growing demand for locally produced evaporated and powdered milk by Nigerian growing consumers.
Ben Langat, Managing Director of FrieslandCampina WAMCO Nigeria, disclosed that having fulfilled all requirements including requisite regulatory approvals and other necessities, operations have commenced at the newly acquired plant. He further maintained that the company will continue to expand its portfolio, especially through low unit price packs and concurrently bolster its distribution reach in the market.
FrieslandCampina WAMCO Nigeria is an affiliate of Royal FrieslandCampina, one of the largest dairy cooperatives in the world. The company has been a major player in Nigeria’s dairy industry since 1954 and is the producer of the popular Peak and Three Crowns brands of milk in Nigeria.