Top African Cement Maker PPC Seeks Buyers for Rwanda Stake
PPC Ltd. is seeking buyers for its stake in the Rwandan cement business CIMERWA Plc, with the government weighing a decision to acquire the shares, according the central African nation’s chief investment officer.
“PPC is selling its 51% stake in CIMERWA and the government will discuss if it is able to buy the stake,” Rwanda Development Board Chief Executive Officer Claire Akamanzi said in an interview on March 10. “PPC is looking for buyers.”
The Rwandan government is already the second largest shareholder in CIMERWA.
PPC has also been considering offers for its Zimbabwean business, although it has yet to agree on pricing with potential buyers, Bloomberg reported previously. A sale of its stake in CIMERWA would leave the continent’s top cement maker with more time to focus on its core operations in South Africa and further pay down debt.
“PPC actively manages its business portfolio in Botswana, DRC, Rwanda, South Africa and Zimbabwe,” the company said in a response to questions. “If and when appropriate PPC will communicate changes to its portfolio in line with applicable regulations.”
The Johannesburg-based cement maker, founded in 1892, refinanced its short and long-term facilities with South African lenders and sold PPC Aggregate Quarries Botswana and PPC Lime Ltd., which assisted in de-gearing its South Africa balance sheet to acceptable levels, the company said in its annual report.