Onome Amuge
Swiss building materials giant Holcim has completed the sale of its majority stake in Lafarge Africa Plc to China’s Huaxin Cement. The company said on Friday that it had divested its entire 83.81 per cent shareholding in Lafarge Africa in a deal valued at $1 billion on a 100 per cent equity basis, before dividend adjustments.
The transaction, first announced in December 2024, concludes Holcim’s exit from Nigeria, where it has operated through Lafarge Africa for decades.
“This decision allows us to focus on growth in other markets while ensuring continuity for the Nigerian operations. We are pleased to have found in Huaxin Cement a trusted buyer that is committed to further developing the business in Nigeria. At the same time, the sale proceeds give Holcim additional capacity for our growth-focused capital allocation,” ” said Martin Kriegner, Holcim’s regional head for Asia, the Middle East and Africa.
Lafarge Africa, one of Nigeria’s largest cement producers, manufactures cement, aggregates, ready-mix concrete and other building products. It has long been a key player in meeting Nigeria’s demand for housing and infrastructure materials, a market that has grown alongside rapid urbanisation and a swelling population projected to surpass 230 million by 2030.
For Huaxin Cement, one of China’s leading building materials producers, the deal adds to a string of acquisitions across Africa as Beijing seeks to cement its role in the continent’s construction and industrial supply chains. The company has operations in Tanzania, Malawi and Zambia, among other countries, and has increasingly positioned itself as a rival to established European players in the African market.
The Nigerian acquisition underscores China’s interest in Africa’s cement industry, which is both a key input for infrastructure projects and a proxy for broader economic growth. Analysts say the move strengthens Huaxin’s footprint in west Africa and gives it a platform in the continent’s most populous nation and biggest economy.
However, the sale was not without hurdles. In April, Emomotimi Agama, director-general of Nigeria’s Securities and Exchange Commission (SEC), said the regulator had yet to receive formal notice of the planned divestment. A federal high court also ordered Lafarge and Huaxin to maintain the status quo while legal proceedings were pending. Despite these interventions, the deal has now been finalised.
The divestment is considered part of Holcim’s strategy to streamline its global portfolio towards markets where it sees stronger profitability and growth. The company has been shifting its focus from traditional cement production towards what it sees as sustainable building solutions, including roofing, insulation and circular construction products.
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