What was only a rumor until yesterday is now a near-truth. According to the general manager of the Public Asset Management Company, which holds a 79.3% stake in the capital of Peugeot Nigeria, all that is needed is the approval of the Central Bank to complete the buyout of the plant by the Nigerian ogre.Aliko Dangote is close to realizing her wish to see Peugeot’s Niger plant on the list of companies in her giant group. The public asset management company in Nigeria, better known by the acronym AMCON, had indeed announced in mid-January 2016 its intention to sell the 79.3% stake it holds in the capital of Peugeot Automobile Nigeria. (PAN), an assembly plant with a capacity of 240 vehicles / day. An offer in which Dangote then took an interest in this takeover with the federated (Nigerian) states of Kaduna and Kebbi, as well as the Bank of Industry.
But nothing has yet filtered out on this important deal, let alone the amount of the deal. On Sunday AMCON chief executive Ahmed Kuru told Reuters news agency:
“All the processes on the offers have been completed for about two months. All we are waiting for now is the approval of the central bank. “
According to Kuru, the automaker is worth some 15 billion naira, or 49 million dollars, according to its latest estimate.
A 45-year-old factory
Historically, Peugeot Automobile Nigeria was initially a joint investment between the French group and the government of Nigeria almost 45 years ago. During the last decade, the company has experienced a number of difficulties, including strong competition with the used car import markets, as well as the cessation of production of the famous 504. This resulted in an accumulation of debts and forced the government to leave the round table in favor of national private investors. AMCON, a structure put in place in 2010 to save the banking system through the buyback of non-performing debt of $ 4 billion to 9 banks, had been asked to buy the toxic assets of the company and a share of capital.
After building materials and agribusiness, Dangote is adding automobiles to its business portfolio. Recall that in January, Dangote Group of Companies announced the establishment of a $ 100 million truck assembly plant in Lagos, in partnership with one of China’s largest industrial groups. Add to that a refinery, as well as petrochemical and fertilizer plants which required an investment of 17 billion dollars and which will be inaugurated during this year