In a major move that would enhance its leverage in the infrastructure space, BUA Group, one of Africa’s largest infrastructure companies on Sunday announced its acquisition of majority shares in P.W. Nigeria Limited – one of Nigeria’s largest construction, engineering and mining companies.
According to BUA, this was necessary to further deepen its investments in the infrastructure business in sub-saharan Africa.
Speaking on the acquisition, Abdul Samad Rabiu, Executive Chairman of BUA Group said, “This acquisition marks the beginning of the next phase of our medium term strategy for our infrastructure business following the completion of the consolidation of our cement arm, BUA Cement, in January 2020.
“BUA’s acquisition of majority holdings in PW Nigeria Limited provides a prime opportunity to increase our investments in the entire value chain of the Cement, Mining and Construction industry where we already have BUA Cement Plc, the second largest cement company in Nigeria, as well as investments in other areas including mining, quarrying, construction, power and logistics amongst others.
“We believe P.W. Nigeria Ltd with its solid experience in building dams, roads, airports, water projects and other infrastructure projects in Nigeria provided a strong value proposition too difficult to ignore.”
Rabiu further added that, as Nigeria and most of West Africa looks to improve infrastructural development in coming years, it became imperative for BUA to position itself strategically to support critical investments and government effort and unlock latent opportunities in the infrastructure development space.
The acquisition of P.W. Nigeria extends BUA’s investments, leadership and capacity in the infrastructure space and projects are expected to benefit from a tight integration of BUA’s cement business and PW Nigeria’s construction business.
PW was originally founded in 1948 in Ireland and began operations in Nigeria in 1974 while, BUA was established by Rabiu in 1988.