The National Social Security Fund (NSSF) has completed the sale of its 27pc stake in East African Portland Cement Company (EAPCC) to Amsons Group through its subsidiary, Kalahari Cement.
The transfer came after the Capital Markets Authority (CMA), Competition Authority of Kenya (CAK) and the Ministry of Mining all approved the sale.
The transaction now makes Kalahari the majority shareholder of EAPCC with a 69pc stake.
“We see so much potential in the cement market in Kenya, and we are committed to growing it even more. We plan to make a significant investment in EAPCC with the aim that we triple production capacity in the next three years,” said Edhah Munif, Amsons Group Managing Director.
As part of new investment into the cement manufacturer, Munif said the firm is also planning to construct another clinkerisation plant which will also provide employment to hundreds of Kenyans.
“This will also be very beneficial for other industries, including logistics and construction. I have always believed in local production as one of the best ways to grow and stabilise an economy, and now we have another opportunity to prove this through our acquisition of EAPCC,” added Munif.
Amsons Group acquired Bamburi Cement in December last year. Since then, Bamburi has recorded a double-digit increase in EBITDA owing to improved efficiency and group support.
Through Bamburi, Amsons has also started work on a new 5000 TPD clinker facility (1.6M TPA) in Kwale County, which is expected to create more than 1000 direct jobs.
The Matuga plant is an investment that requires more than $300 million in investment and is backed to help improve economic activity in the region.
