Dangote Sugar acquires Savannah Sugar for Market Expansion

Must Read

Africa’s biggest grocery retailer, Shoprite exits Nigeria

Shoprite is exiting the continent's most populated country, Nigeria, after 15 years of operation. The retail giant initiated a...

List of Guaranty Trust Bank Sort Codes & Branches (with addresses) in Nigeria

The sort code is a number that usually identifies both the bank and the branch where an account is...

Life Lager Beer Lightens Niger Bridge (Photos)

Following the launch of a new bottle and the ‘Nduka’ campaign, Life Lager Beer has continued to spread its...

In a bid to enhance production capacity and further increase its market share, shareholders of Dangote Sugar Refinery Plc (DSR) have given the nod for the formal takeover of Savannah Sugar Company Limited.

Shareholders of DSR during their Extraordinary General Meeting, which was preceded by the 2019 Annual General Meeting, voted in favour of the merger of the two companies as sub-Saharan Africa’s largest sugar refining firm embarked on the next stage of its backward integration plan to revolutionise the sugar sub-sector of the nation’s economy.

The Chairman of the company, Alhaji Aliko Dangote, said the DSR, a top tier player in the industry with an installed capacity to produce 1.44 million metric tones per annum, will be leveraging on the Savannah Sugar’s sugarcane production capacity to enhance its production capacity.

According to Dangote, Savannah Sugar has 32,000 hectares of land available for cultivation of sugar cane as well as milling capacity of 50,000 tonnes of sugar per annum and that upon the merger, further investments would be made to increase SSCL land under cultivation.

Dangote explained that the DSR board considered the merger as fair and reasonable and believed that it would provide strategic opportunities and benefits for the company, employees and other stakeholders as the new company would be operating from the position of increased access to capital and then higher profitability.

Read Also:  MOVE ASIDE NOLLYWOOD: CNN EXPLORES A NEW WAVE OF FILM IN NIGERIA
- Advertisement -

He listed some of the benefits of the merger as being to consolidate the assets, intellectual property rights, operations and business dealings of the SSCL into the DSR; eliminate cost inefficiencies arising from duplication of resources and processes and improve the efficiency through more focused management of resources; and position it as the biggest integrated sugar producer in Nigeria.

The Chairman of the Company explained that necessary approvals have been given by all concerned regulatory authorities and the merger would positively alter the sugar sectorial landscape as the Federal Government’s backward integration policy would be better implemented by the company.

- Advertisement -
Dangote Sugar acquires Savannah Sugar for Market Expansion - Brand SpurDangote Sugar acquires Savannah Sugar for Market Expansion - Brand Spur

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Dangote Sugar acquires Savannah Sugar for Market Expansion - Brand SpurDangote Sugar acquires Savannah Sugar for Market Expansion - Brand Spur

Latest News

British Airways August Schedule Sees Return To More Destinations

Throughout August, British Airways is resuming flying to more destinations, albeit with continued low frequencies while the impact of...

Heineken sales and profits slide in the first 6 months of 2020

In the first half of 2020, Heineken's markets and businesses were materially impacted by the COVID-19 pandemic. Given the unprecedented nature of the situation,...

Ikeja Hotel reports N785m six-month loss

Hospitality firm, Ikeja Hotel Plc has witnessed a decline in its earnings for the first six months of the year, ended June 30, 2020. This...

Africa’s biggest grocery retailer, Shoprite exits Nigeria

Shoprite is exiting the continent's most populated country, Nigeria, after 15 years of operation. The retail giant initiated a formal process to consider the...

Okomu Oil records N4bn profit, pays N1.92bn dividend in H1 2020

Okomu Oil Palm Company Plc, one of Nigeria’s leading producer of Oil Palm and Rubber crash crops for local and exports consumption in its...
- Advertisement -
BrandsPur Weekly Cartoons
- Advertisement -Dangote Sugar acquires Savannah Sugar for Market Expansion - Brand SpurDangote Sugar acquires Savannah Sugar for Market Expansion - Brand Spur