Lafarge Africa Plc (NSE – WAPCO) is set to divest its 35% shareholding in Continental Blue Investment Ghana Limited (CBI Ghana) – a company involved in development, financing and operation of a cement grinding plant in Ghana, according to the statement from Lafarge signed by the General Counsel & Company Secretary Adewunmi Alode.
The statement released on the Nigerian Stock Exchange (NSE) did not disclose the reason behind the divestment. However, the Board of Lafarge Africa Plc resolved to divest from from CBI Ghana in an emergency Board meeting on Wednesday January 20, 2021.
The summarised statement of financial position of Continental Blue Investment Ghana, as at 31 December, 2020 shows the Group’s carrying amount of the investment/share of net liabilities (35%) was minus N375.613 million.
The summarised statement of comprehensive income showed that WAPCO’s recognised share of loss was minus N98.993 million.
The statement read “Pursuant to the emergency meeting of the Board of Lafarge Africa Plc (“Lafarge Africa” or “the Company”) held today, Wednesday, 20th January 2021, the Board resolved and hereby notifies the Nigerian Stock Exchange (“the NSE”) of its decision to divest its 35% shareholding in Continental Blue Investment Ghana Limited (“CBI Ghana”).”
The share price of Lafarge Africa Plc is up by 2.26% to N27.10 per share on the floor of the Nigerian Stock Exchange on Thursday at the time of this report.
YTD the share price is up by 25.89%, in 3 years and five it is down by 49.52% and 66.88% respectively.
On May 31 2019, Lafarge Africa signed an agreement with Caricement for divestment of its entire holding in Lafarge South Africa for $317 million.
About Lafarge Africa Plc
Lafarge Africa PLC (Lafarge Africa) was incorporated in Nigeria on 26 February, 1959 and commenced business on 10 January 1961.
The Company formerly known as Lafarge Cement WAPCO Nigeria Plc changed its name after a special resolution was passed by the shareholders at an Annual General Meeting held on Wednesday 9 July 2014.
The change of name became effective with the acquisition of shares in Lafarge South Africa Holdings (Proprietary) Limited (LSAH), United Cement Company of Nigeria Limited (UNICEM), AshakaCem PLC (AshakaCem) and Atlas Cement Company Limited (Atlas).
The Company’s corporate head office is situated at 27B Gerrard Road, Ikoyi, Lagos which is same as the registered office.
Lafarge Africa is in the business of manufacturing and marketing of cement and other cementitious products such as Ready-Mix Concrete, Aggregates, Fly-Ash etc.
On July 15, 2016, Lafarge S.A. France and Holcim Limited, Switzerland two large global players merged to form LafargeHolcim Group based in Zurich, Switzerland. Consequently Lafarge Africa is now a subsidiary company of Lafarge Holcim.
Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.