Dangote to double its Ethiopia cement plant production with N600bn

Dangote Cement Plc has disclosed its plans to invest $400 million (about N603.2billion) to upscale a second production line at its Mugher cement plant in Ethiopia.

“This expansion aims to double the facility’s annual production capacity to 5 million tons and is expected to become operational within 30 months,” the Africa’s largest cement maker said in February 18 notice at the NGX.

The cement company also informed the Nigerian Exchange Limited (NGX) and all stakeholders of its plans to establish a new greenfield cement grinding unit with an annual capacity of 3 million tons.

A meeting of the Board of Directors of Dangote Cement Plc will be held on February 28 to discuss various matters, including the Audited Financial Statements (AFS) for the year ended December 31, 2024.

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In view of the above, Dangote Cement Plc has since January 1 entered a Closed Trading Period until 24 hours after the 2024 AFS and relevant resolutions passed at the Board meeting are released to the public.

At the Nigerian Exchange Limited, the share price of Dangote Cement Plc had reached a 52-week high of N686.7 per share as against a 52-week low of N349.2.

The N480 per share which Dangote Cement traded on Monday February 17 shows its share price has risen by 0.25 percent this year, and underperformed the NGX-ASI which rose by 4.87 percent year-to-date (YtD).

Dangote Cement had in November 2024 said it contemplates issuance of Series I bonds under its N300 billion multi-instrument issuance programme.

“Dangote Cement Plc has obtained approval of its Board of Directors to access medium to long-term debt funding from the domestic capital markets.

“The Company had filed an application with the Securities and Exchange Commission in respect of the bonds, and relevant approvals have now been received.

“The bonds will be issued imminently, subject to favourable market conditions. The proceeds of the bonds will be applied towards refinancing existing debt and for working capital purposes,” company had said.