Kenya’s Billionaire Narendra Buys Rwanda’s Cement Manufacturer

Kenya’s billionaire and Chairman of Devki Group Narendra Raval has bought Rwanda’s oldest cement manufacturer, CIMERWA Plc, promising to invest $60 million in the first year of the takeover.

Narendra’s cement subsidiary, National Cement Holdings Ltd, completed the acquisition of CIMERWA Plc on January 25, 2024, to a tune of $85 million, becoming a majority shareholder with a 99.943 percent holding.

“We believe in the potential for this business and its people and are excited by the opportunity to support infrastructure development in the region in line with our strategic expansion ambitions,” Narendra said in a press statement.

The acquisition enables Narendra to expand his diverse portfolio, which already boasts manufacturing businesses in cement, steel, roofing materials, fertilizers, and packaging materials.

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National Cement operates an integrated cement plant, a clinker plant, and multiple grinding plants in Kenya. It also operates a cement grinding plant in Eastern Uganda.

With the acquisition of CIMERWA, perhaps the business magnet hopes to expand and grow his business empire beyond Kenya and Uganda. Indeed, the acquisition adds to his growing portfolio and gives him an edge in the region whose demand for cement has been growing rapidly, driven by manufacturing growth.

CIMERWA has been operating in the Rwandan market for 40 years now, but the company has been struggling to compete in a market where imported cement sale at competitive prices.

South Africa-based cement producer Pretoria Portland Cement (PPC) was the majority owner in CIMERWA, controlling 51 percent shareholding.

“This represents the final step in PPC’s execution of its revised strategy to focus on core Southern African markets and exit its Central and East African assets,” Roland van Wijnen, CEO of PPC Ltd noted.

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By Julius Bizimungu