Swiss building materials giant Holcim has finalized the sale of its majority stake in Lafarge Africa Plc to China’s Huaxin Cement, completing a transaction valued at $1 billion on a 100% equity basis. Holcim divested its entire 83.81% shareholding, marking the end of its decades-long presence in Nigeria. The deal, initially announced in December 2024, was concluded in August 2025 despite facing legal and regulatory challenges, including a lawsuit filed by a minority shareholder and a statement from the Nigerian Securities and Exchange Commission (SEC) indicating it had not received formal notice of the sale.
The acquisition represents a strategic expansion for Huaxin Cement, which has been actively growing its footprint across Africa. The Chinese company, already familiar with Holcim’s operations through previous acquisitions in Zambia and Malawi, now secures a major platform in Nigeria, Africa’s most populous nation and largest economy.
Industry analysts suggest the takeover could inject new capital and modern technology into Lafarge Africa’s operations, driving enhanced efficiency. This development is poised to intensify competition within Nigeria’s cement market, presently dominated by local giants Dangote Cement and BUA Cement. As of August 2025, the average price for a 50kg bag of Lafarge cement in Nigeria ranges from ₦10,100 to ₦10,300 depending on the region, slightly below competing brands Dangote and BUA, which trade between ₦10,250 and ₦10,500. This increased competition is expected to stabilize prices for consumers and builders, while potentially boosting production and job creation.
The deal aligns with Holcim’s global strategy to streamline its portfolio and concentrate on markets with higher growth potential. For Huaxin, the acquisition is a pivotal move to capitalize on Africa’s growing demand for infrastructure and housing development.
Following the deal announcement in late 2024, Lafarge Africa’s stock price surged by 10% in a single trading session, hitting around ₦140.00 in August 2025. Recently, the stock has stabilized around ₦130.00, reflecting strong market interest. Analysts forecast the stock to reach approximately ₦140.79 in one year and have set a 12-month average price target near ₦132.83, with some projections as high as ₦199.14. This optimism is supported by expectations of 18% annual earnings growth, a return on equity forecast of 33.1% within three years, and steady revenue increases. Market watchers also note the possibility of a mandatory takeover offer (MTO) by Huaxin for the remaining shares, which could lead to Lafarge Africa’s delisting from the Nigerian Exchange Limited (NGX).
Investors are hopeful that the new ownership will boost company performance and shareholder returns, driving sustained demand for Lafarge Africa’s stock. This confidence is bolstered by the anticipated benefits from Huaxin’s entry, including technological upgrades and enhanced operational efficiencies that could improve the company’s financial results.
This strategic acquisition marks a significant pivot in Nigeria’s cement sector, influencing market dynamics and potentially delivering long-term benefits to consumers, investors, and the broader economy.