Holcim, a Swiss cement and building materials manufacturers has announced it is exiting Nigeria, saying the development is the companies strategy to streamline operations and focus on high-growth regions and sustainability.

Consequently, the company plans to sell its 83.8 per cent stake in Lafarge Africa Plc to China’s Huaxin Cement for $1billion.

“Holcim has signed an agreement with Huaxin Cement Ltd to sell its entire 83.81 per cent shareholding in Lafarge Africa PLC, at an equity value of $1billion on a 100 per cent basis.

“The transaction is expected to close in 2025, subject to customary and regulatory approvals,”

According to a statement by the company, the decision aligns with its prioritise higher-margin products, strategic infrastructure investments, and green technologies.

The statement further stated that its new focus includes the recent investment in low-carbon cement through a partnership with US-based Sublime Systems.

Holcim’s exit from Nigeria follows its 2021 disposal of its majority stake in Zambian operations, also to Huaxin Cement.

The move also reflects Nigeria’s evolving cement market, now dominated by local players like Dangote Group and BUA Cement.

Lafarge Africa, operational since 1959, has four plants across Nigeria and a production capacity of 10.5 million tons per annum. It has been at the forefront of green growth and decarbonisation in building materials.

Holcim, a global leader in building solutions, reported CHF 27 billion in sales in 2023 and employs over 63,000 staff worldwide.

Meanwhile, Huaxin Cement, its buyer, has over a century of experience in the cement industry and operates across more than 300 branches globally.