Dangote plans to quadruple revenue to $30bn in African cement capacity
Aliko Dangote, the richest person in Africa, is looking to expand cement capacity on the continent by 29% to 62 million tonnes, entrenching his flagship company’s position as the the continent’s biggest producer of the construction material.
The billionaire plans to add six million tonnes in Nigeria next year, taking volume in Dangote Cement Plc’s home market to 35 million tonnes, he said in interview on Bloomberg Television. The rest of the expansion is planned mainly in West Africa, including Niger and Cote d’Ivoire.
The 62-year-old told shareholders in June the company plans to open plants in Nigeria that will allow it export clinker to grinding plants in Cameroon and West Africa.
Dangote, who is building one of the world’s biggest refineries in Lagos, Nigeria’s commercial capital, in addition to investments in gas and petrochemical plants, said he expects total group revenue to grow to about $30 billion from $4 billion when the plants start operations in the next two years.
Thereafter, plans include investing about 60 percent of profit outside Africa, including the United States and the United Kingdom.
“Sometimes in Africa you have issues of devaluation,” he said. “We want to really preserve some of the family’s wealth.”