The National Social Security Fund has completed the sale of its 27% stake in East African Portland Cement Company (EAPCC) to Kalahari Cement Ltd, an entity ultimately owned by the Amsons Group. The transfer came after the CMA, CAK and the Ministry of Mining all approved the sale. This now makes Kalahari the majority shareholder of EAPCC with a 69% stake.
EAPCC, Edha Munif, the Managing Director, said,“We see so much potential in the cement market in Kenya, and we are committed to growing it even more. We plan to make a significant investment in EAPCC with the aim that we triple production capacity in the next three years. We also plan on building another clinkerisation plant, which will lead to thousands of new jobs being created and increased revenue for Kenya as sales grow. This will also be very beneficial for other industries, including logistics and construction. I have always believed in local production as one of the best ways to grow and stabilise an economy, and now we have another opportunity to prove this through our acquisition of EAPCC.”
EAPCC has not been profitable for 13 years. Shareholders were finally paid a dividend for the first time this year, but this was because of the sale of land owned by EAPCC. Now that the sale of shares to Amsons has been completed, EAPCC can finally receive much-needed investment, which will allow the company to become profitable again and lead to further stability of the Kenyan cement market, requiring fewer imports.
Amsons Group acquired Bamburi Cement in December 2024. Since then, Bamburi has recorded a double-digit increase in EBITDA owing to improved efficiency and group support. Through Bamburi, Amsons has also started work on a new 5000 TPD clinker facility (1.6M TPA) in Kwale County, which is expected to create more than 1000 direct jobs. The Matuga plant is an investment that requires more than 300 million USD in FDI and will help improve economic activity in the region.
