Dangote Cement shops for N50bn from series 17, 18 Commercial Paper issuance

The Dangote Cement Plc series 17 and 18 Commercial Paper (CP) offer of up to N50 billion opened on Monday, December 16.

This CP offer which is under its N300 billion Commercial Paper issuance programme is still open till Thursday, December 19, 2024.

Dangote Cement is Sub-Saharan Africa’s leading cement producer, with a combined capacity of 52Mta (35.3Mta in Nigeria) across 10 African countries. It operates a fully integrated “quarry-to-customer” business with activities covering manufacturing, sales and distribution of cement.

The net proceeds from the CPs issue will be used to support the Issuer’s short-term financing requirements and general corporate purposes. The CPs will be repaid from the cash flows of Dangote Cement Plc.

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Through its investments, the Company eliminated Nigeria’s dependence on imported cement and transformed the nation into an exporter of cement, serving neighbouring countries.

Africa’s largest cement producer reported N2.5 trillion in revenue for the nine months of 2024. Its revenue grew by 69.1 percent from N1.5 trillion reported in the same period of 2023 with Nigeria sales volume rising by 9.5 percent and Pan-Africa market sales declining by 1.6 percent.

After-tax profit during the period increased by a single-digit 0.55 percent to N279.09 billion from N277.5 billion. Also, in the first nine months, the cost of sales increased by 92 percent, rising to N1.2 trillion from N642 billion in the same period of 2023.