The management of the Nigerian Stock Exchange, on Thursday, admitted 33,864,354,060 ordinary shares of BUA Cement Plc for listing on its main board, following last year’s merger of the group’s cement holdings- Cement Company of Northern Nigeria Plc (13,143,500,966 shares) and BUA Obu Cement (20,720,853,094 shares).
The listing, which followed the delisting of the 13.14bn ordinary shares of CCNN, the group said is in line with its vision to unlock opportunities inherent in the business space in Africa for Africans by Africans through BUA’s strategic investments in key industries within Nigeria and across the continent, boosted the NSE’s market capitalization by N1.185tr (USD3.3bn).
A statement by BUA said the listing at a price of at N38.45 per share, brings total capacity across all its cement assets to 8 Million Metric Tons Per Annum, with an additional 3m metric tonnes plant coming on stream in by the second half of this year.
A breakdown of the company’s capacity shows that it is poised to become the second-largest producer of cement in the country by volume, with factories in Sokoto State, North West Nigeria (2m mtpa) and Okpella Edo State, South-South Nigeria (6m mtpa).
These locations, the company stressed further, gives BUA Cement the benefit of market leadership positions in its key regional markets of the North West, South-South and South-East geo-political zones of Nigeria, due to its proximity to those markets. This is also beside the huge export market in Western Africa.
Speaking at the closing gong ceremony to commemorate the listing, Engr. Yusuf Binji, Managing Director of the new entity assured of BUA Cement’s determination “to add even more value to the Nigerian economy as a whole through this listing.”
Over the past few years, he noted, “we have significantly ramped up capacity and currently boast the most efficient and integrated operations in the Nigerian Cement Industry. This new publicly listed company will continue to deliver exceptional value to all stakeholders in the foreseeable future.”
BUA Cement believes, according to the statement, that the proposed merger provides a compelling opportunity to capture significant synergies and create value for the benefit of the shareholders of both companies in the form of the stronger competitive position of the enlarged company; economies of scale, enhanced operations and administrative efficiencies that will accrue.
Speaking on the listing, Chief Executive of the Nigerian Stock Exchange, Oscar Onyema, applauded the Founder of BUA Group and Chairman of BUA Cement, Abdul Samad Rabiu, for bringing the expanded cement business for trading, a move he noted, is a “show of confidence in the value the NSE offers”.
Commenting at the meeting in December, where shareholders voted 99.93% in favour of the merger, Chairman of BUA Group, Abdul Samad Rabiu, said the merger will “ensure more efficient operation, improved financial performance and create better value for all stakeholders.
“We are certain that the new entity can continue to compete effectively in the cement industry in Nigeria with its more advanced plants and geographical advantages, whilst maintaining its market dominance in its key regions.
“The new, enlarged cement company will be a stronger platform to capture significant synergies and create value for the benefit of shareholders in the form of stronger competitive position, economies of scale, enhanced operations and administrative efficiencies which are expected to accrue,” he explained further.
Analysts also see the mouth-watering Synergy in the merger, given its relatively young average age of about three years, as well as the efficiency level of the plants, which would help in cost savings and economies of scale, given its size. They also note the advantages inherent in tax holidays the enlarge company will benefit from on both the Kalambaina and Okpella plants.

Photo caption: Yusuf Binji, Managing Director, BUA Cement, fourth left striking the closing gong to close Thursday’s trading on the Nigerian Stock Exchange, in commemoration of the listing of the company on the bourse. He was flanked by Oscar Onyema, chief executive of the NSE third left, and Kabiru Rabiu, Group Executive Director, BUA Group, fourth right. Others were the Group Chief Operating Officer (BUA Cement), Finn Arnoldsen; Group Chief Operating Officer (BUA Group), Chimaobi Madukwe (second left); Ahmed Aliyu, Company Secretary, BUA Cement (third right), O’tega Ogra, Group Head, Corporate Communications, BUA Group (second right); and Gbolahan Oluwasegun, Senior Manager, Corporate Finance, BUA Group (right).