NewsExpress advert FCMB banner
Dangote Cement sells N86.1bn stake to foreign investors

By Chijioke Ohuocha on 01/08/2017

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 2,245

•Dangote Industries President Aliko Dangote
•Dangote Industries President Aliko Dangote

Nigeria’s Dangote Industries Limited sold a 2.3 percent stake in Dangote Cement to foreign investors on Tuesday in a stock market deal valued at 86.1 billion naira ($236 million).

Africa’s biggest cement maker has been selling small stakes to increase its free float, which is well below the Nigerian stock exchange’s required level.

A spokesman for the Nigerian Stock Exchange said 416 million shares of Dangote Cement were sold on Tuesday at 210 naira each in six off-market deals negotiated between Stanbic IBTC and Meristem stockbrokers.

The price was below Dangote Cement’s closing price on Monday of 223.75 naira. Shares in the company, owned by Africa’s richest man Aliko Dangote, jumped after news of the share sale, closing up 7.3 percent at 240 naira, valuing the company at 4.09 trillion naira ($11.2 billion).

A spokesman for the cement maker said the deal was between Dangote Industries Limited and some foreign investors, whom he did not identify.

The transaction increases Dangote Cement’s free float to 10.4 percent according to Thomson Reuters calculations, still well below a stock market requirement of 20 percent.

It is the biggest company on the Nigerian Stock Exchange, accounting for a third of the bourse’s total market capitalisation, and when it listed in 2010 the bourse waived its free float requirement because it wanted to encourage more companies to list.

It gave Dangote 18 months to reach the 20 percent level but a banking source said the company has still yet to meet its minimum float requirement as local investors dislike its high valuation and foreign investors have been deterred by a currency crisis in Nigeria.

In 2013, Dangote Industries sold 1.5 percent of its 95 percent stake in Dangote Cement to South Africa’s Public Investment Corporation (PIC) for $289.3 million.

Subsequently it sold a 1.4 percent stake to Sovereign fund Investment Corp of Dubai (ICD) for $300 million in 2014.

Dangote Cement told Reuters last month that it planned to invest about $4 billion over the next two to three years to nearly double its production capacity to 80 million tonnes in Africa.

However it faces competition in Africa from French cement maker Lafarge which has combined its Nigerian and South African businesses to accelerate growth on the continent, as well as other local rivals.

Last week Dangote Cement reported a 24.6 percent rise in half-year pretax profit to 155.58 billion naira. (Reuters)

Source News Express

Posted 01/08/2017 8:40:31 PM


Share on facebook Yahoo mail icon Gmail icon Share on Google+



REVEALED: 3 natural ways to get stronger erections, last 25minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...


You may also like...
Coca-Cola pulls offensive ad, but the damage is...

Kidnapped Lagos students, teachers regain freedom after payment...

Fear grips governor, other Nigerian property owners in...

El-Rufai implementing APC blueprint in Kaduna, says Oyegun...

Bad weather stops Buhari’s trip

Oil producing communities kick against relocation of Maritime...

China, a strategic partner in the actualsation of...

Ambode wins Transparency & Good Governance Merit Award...

11 days to 2013 South Africa Cup of...


Rotary votes $5.5 million to end polio in...

Economic recession and an uncaring President


Latest News Nigeria can never survive without North, says ACF *Afenifere insists on restructuring Obi, other SDG experts speak at UN event in Germany 9 suspected kidnappers nabbed in Taraba Leave Idoma land or see fire, youths tell Fulani herdsmen •Give April 15 deadline Lawmakers give Commissioner, Lagos monarch 7 days to remove traditional ruler Facebook crisis: British MPs summon Zuckerberg Armed Forces determined to end terrorism in Nigeria: DHQ Police Special Squad arrests 7 cultists in Anambra •I lied to my wife that I was attending church night vigil — Suspect We’ll entrench transparency, integrity, competition in award of contracts — Okowa 2019: NULGE endorses Ugwuanyi for second term, seeks LG autonomy World Oral Health Day: 750 benefit from Kaduna Refinery’s Free Dental Care NiMet predicts partly cloudy weather for Wednesday


Most Read Nigerian female sex addict opens up, says ‘I like it with both men and women’ (332,534 views) NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (325,223 views) Shameless Genevieve Nnaji exposes breasts in public (260,922 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (214,461 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (198,079 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (192,527 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (167,762 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (150,490 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (143,217 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (133,330 views) Lagos plane crash: Journalist releases victims’ names (132,687 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (125,951 views)


Categories Advertorials (3) African Press Organisation (81) Art & Literature (34) Business & Economy (2,973) Business Verdict (36) Columnists (814) Complaints & Requests (94) Enterprise & Opportunities (207) Entertainment (455) Features (554) Global Business Monitor (239) International (1,859) Interview (146) Live Commentary (28) Love Matters (114) News (33,775) Opinion (896) Pidgin (10) Politics (4,629) Religion (701) Sports (1,457) Stock Watch (28) AMA & Al Jazeera Global Update





Football Highlight -- BARCELONA - CHELSEA 3:0


APO Group Partner




REVEALED: 3 natural ways to get stronger erections, last 25minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...

GOCOP Accredited Member

GOCOP Accredited member



Africa Media Agency and Al Jazeera