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BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ - Business - Nairaland

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BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by ijustdey: 1:02pm On Jan 01, 2019
by Mayowa Tijani



A federal high court sitting in Lagos has given its final approval to the scheme of merger between the Cement Company of Northern Nigeria and BUA Group’s Kalambaina Cement Company.

According to a statement by the group, this comes on the back of “overwhelming shareholder approval” as well as final approvals by the regulators – Securities & Exchange Commission (SEC) and Nigerian Stock Exchange (NSE).

“With this development, the Nigerian Stock Exchange is expected to list the shares of the expanded entity in what has been described by the regulator as the largest deal of the year in Nigeria in 2018 at its recently held NSE CEO Awards,” BUA said.

Speaking on the development, Abdul Samad Rabiu, founder/executive chairman of BUA Group, praised the effort of all stakeholders in bringing the merger to fruition.

He said the expanded CCNN will remain the market leader in north-west Nigeria – the third largest market for cement in the country by consumption, whilst continuing to explore the huge opportunities that exist in the export markets of Niger, Burkina Faso and the West African region.

“Traditionally, the huge cost of transportation to CCNN’s home region from other cement plants in Nigeria – the nearest being about 900km away – has always given us a strategic advantage in that region over competing cement companies and brands,” he said.

“The expanded entity will leverage on the cost and energy efficiency of the newly commissioned Kalambaina Plant whilst providing additional value through its products in terms of better quality, higher yields and a stronger cement than competing premium cement brands.”

With the merger, the total installed capacity of the merged entity is expected to be two million metric tonnes per annum (MTPA).

The development will bring the total capacity of BUA’s cement operations to eight million MTPA as the group recently announced the completion of its three million MTP Obu II Cement Plant in Okpella Edo state.


https://www.thecable.ng/bua-merges-with-cement-company-of-northern-nigeria
Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by JasonScoolari: 1:05pm On Jan 01, 2019
Good deal, but they should create massive jobs especially in the northern part of the country just to keep some over age Almajiri busy.

9 Likes 1 Share

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by hisexcellency34: 2:54pm On Jan 01, 2019
Dangote right now in serious pains

10 Likes

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by abbeyloyee(m): 2:55pm On Jan 01, 2019
G
Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by Nobody: 2:56pm On Jan 01, 2019
Indeed!
Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by ksly24(m): 2:57pm On Jan 01, 2019
JasonScoolari:
Good deal, but they should create massive jobs especially in the northern part of the country just to keep some over age Almajiri busy.
word!

4 Likes

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by AnthonyAk(m): 3:02pm On Jan 01, 2019
hisexcellency34:
Dangote right now in serious pains

Competition is always a good thing

8 Likes

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by Kay17: 3:03pm On Jan 01, 2019
It is the Federal High Court not a Federal High Court.
Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by mytime24(f): 3:07pm On Jan 01, 2019
#dangote

3 Likes

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by RexTramadol1: 3:07pm On Jan 01, 2019
Something Dangote go soon collect
Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by SamAzing: 3:23pm On Jan 01, 2019
They say like attracts like.
Who you follow determines what follows you...


Lifeless FC appoints ... campaign... Dangote....

Can this be the beginning of lifeless experiences for the richest black man alive?

Are you thinking what I’m thinking?

2 Likes

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by Idrismusty97(m): 3:24pm On Jan 01, 2019
hisexcellency34:
Dangote right now in serious pains
Lol Dagote that is building the largest refinery in Africa? He is moving away from cement to dominating the petroleum industry. Once the refinery is completed only Lagos alone can give him more than he have ever made with cement, Not to talk of the whole country.

9 Likes 2 Shares

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by Mitjyland(m): 3:25pm On Jan 01, 2019
Ashaka Cement is still the best in the North.

2 Likes

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by legba1(m): 3:31pm On Jan 01, 2019
Competition is good for consumers but i doubt if this merger will tilt the stake in favor of the consumers...we need an entity that can crash the price and force competitors to follow suit or ship out......after all glo did it once and we are all good for it..

2 Likes

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by chloride6: 3:34pm On Jan 01, 2019
hisexcellency34:
Dangote right now in serious pains

Wetin you know?

1 Like

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by chloride6: 3:34pm On Jan 01, 2019
Who is handling the M&A?
Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by chuksohams(m): 3:36pm On Jan 01, 2019
Movers
Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by chloride6: 3:36pm On Jan 01, 2019
legba1:
Competition is good for consumers but i doubt if this merger will tilt the stake in favor of the consumers...we need an entity that can crash the price and force competitors to follow suit or ship out......after all glo did it once and we are all good for it..

Calm down alaye. Nobody goes to the market to crash prices..

They all go to make money.

9 Likes 1 Share

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by kolnel: 3:39pm On Jan 01, 2019
Nice

As long as it translates into cheaper cement cost
And break the monopoly

I’m sure dangote will be bringing down the cement cost just for this reason
Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by DerideGull(m): 3:41pm On Jan 01, 2019
JasonScoolari:
Good deal, but they should create massive jobs especially in the northern part of the country just to keep some over age Almajiri busy.

Yet the so-called federal government of Nigeria (shithole) killed the cement venture of one Igbo man named Ibeto. I do not want any fool from Nigeria to lecture me about unity in Nigeria.

2 Likes 1 Share

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by philip0906(m): 4:03pm On Jan 01, 2019
DerideGull:


Yet the so-called federal government of Nigeria (shithole) killed the cement venture of one Igbo man named Ibeto. I do not want any fool from Nigeria to lecture me about unity in Nigeria.
Obasanjo frustrated ibeto cement...Same Obasanjo that "endorsed" Atiku...Same Atiku my igbo brothers are dancing around...

Do you see the trail?

2 Likes

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by Gerrard59(m): 4:06pm On Jan 01, 2019
What really concerns a law court regarding M&A when a case was not brought to her attention?

1 Like

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by lilytender: 4:12pm On Jan 01, 2019
DerideGull:


Yet the so-called federal government of Nigeria (shithole) killed the cement venture of one Igbo man named Ibeto. I do not want any fool from Nigeria to lecture me about unity in Nigeria.

Obasanjo a fellow Southerner and PDP chieftain gave license to Dangote only to import cement The government changed and Yar'Adua became President. Ibeto went ahead and imported unbagged cement. Dangote took Ibeto to Court but Yar'Adua said that no matter what the court says, anybody should be able to do business without intimidation and that Ibeto is free to go on with his cement business. However, later Goatluck Jonathan became President and once again helped Dangote to fraaustrate Ibeto Please note that not everyone is stupid and senseless like you IPOB miscreants

12 Likes 4 Shares

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by Venerable612(m): 4:51pm On Jan 01, 2019
Gerrard59:
What really concerns a law court regarding M&A when a case was not brought to her attention?

The FHC sanctions the M&A
Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by VULCAN(m): 5:01pm On Jan 01, 2019
Obasanjo endorsed Buhari... Same Buhari that took 6 months to appoint politicians as ministers...same politicians that have made no tangible mark in the lives of the masses.

Do you see the trail??

philip0906:

Obasanjo frustrated ibeto cement...Same Obasanjo that "endorsed" Atiku...Same Atiku my igbo brothers are dancing around...

Do you see the trail?
Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by lilytender: 5:27pm On Jan 01, 2019
chosengocap:
To the mod who banned me for speaking the truth about APC I say your Father! Nairaland mods are all apc foot soldiers.

Go and create you own Biafraland and post anything you like there. I am an APC supporter and an unrepentant Buharist and I have been banned several times by the overzealous moderators. Stop screaming and wailing whenever you are banned.

3 Likes

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by Gerrard59(m): 7:03pm On Jan 01, 2019
Venerable612:


The FHC sanctions the M&A

Which is why I'm surprised. In all M&A transaction I've read, I've not seen where a court's opinion was sought unless there is a dispute (which will be settled before the transaction). It must be a Nigerian law.
Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by Venerable612(m): 7:36pm On Jan 01, 2019
Gerrard59:


Which is why I'm surprised. In all M&A transaction I've read, I've not seen where a court's opinion was sought unless there is a dispute (which will be settled before the transaction). It must be a Nigerian law.

There does not need to be any dispute. The FHC has jurisdiction over M&A transactions. Court orders must be obtained for intermediate and large transactions
1. prior (for each party’s shareholder to meet on the proposed merger) and
2. after approval by the SEC (to sanction -in principle give legal backing - to the M&A and all the transfer of shares/assets).

But for small M&As - only the second stage highlighted above is needed.

See e.g screenshot below from Monday:

Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by mfm04622: 7:40pm On Jan 01, 2019
JasonScoolari:
Good deal, but they should create massive jobs especially in the northern part of the country just to keep some over age Almajiri busy.

The Almajiri need education (both formal and skill acquisition type) first before they can be gainfully employed.
Re: BUA Merges With Cement Company Of Northern Nigeria In ‘largest Deal Of 2018’ by Ayobami7(m): 9:23pm On Jan 01, 2019
Noted

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