exclusivepp.com.ng

A unit of Dangote Flour Mills, Dangote Noodles Limited, has sold two production lines to rival pasta maker, De United Foods Industries, for N3.75bn ($12.26m), the company said on Tuesday.

De United said it had signed an agreement with Dangote Noodles to buy plants at its Ikorodu and Calabar factories. It will also buy stock worth N383.94m, according to a report by Reuters.

The deal comes after Dangote sold a small stake in its cement business to foreign investors in a one-off stock market deal valued at N27bn.

Dangote Flour Mills, majority owned by Africa’s richest man, Aliko Dangote, had said it wanted to quit the noodles business to focus on flour and pasta production.

Nigeria’s noodle market is fiercely competitive and De United, with a market share of around 70 per cent, is seeking to consolidate the sector.

Privately-held Dangote Industries Limited, with interests in agriculture, real estate and truck assembly, bought back the flour unit it had sold to South Africa’s Tiger Brand for $1 in 2015 after it posted losses.

Shares in Dangote Flour Mills have more than doubled so far this year after rising by 276 per cent last year. The stock price was down by 3.17 per cent on Tuesday at N9.20 naira.

Dufil Prima Foods, the parent of De United Foods, is a privately held company set up over two decades ago, which has grown to become the largest pasta maker in West Africa.

De United said the transaction had been approved by both companies and the regulators.

A banking source close to the deal said that De United would continue to produce noodles under the Dangote brand for two years after the acquisition.

In July Dufil Prima Foods said it would raise N40bn in the local debt market to broaden its funding base.

Source:- http://www.exclusivepp.com.ng/dangote-sells-noodle-plants-rival-n3-75bn/

Wise man

Ok

I dedicate this space to all the single ladies in the house. Ur time is coming.




To all Nigerians one love.





To ultimated1 I thank you.


Lalasticlala much respect.

Money is good

Hmmnnn.

Even Dangote has lost hope in Nigeria. May have gotten his Canadian invitation.

Zombie headslammers continue hoping that Buhari’s corpse will rise again.

Can Dangote be going broke? Impossible.

that strong noodles-cement he dey sell give us

We should expect another brand of noodles soon.

Indomie

useless man

De United remains the best for me.

Dangote noodle doesnt taste well.

You can't have it all. It's wise to sell the unproductive noodles to capable hands.

waooo



I doubt if dangote can survive good competitor


dangote noodles
dangote pasta
dangote tomato paste
dangote maggi
and all dangote business where competitors are is down and people will still call him a good businessman abegi




Government should please give me the sole right to lighters and matches for minimum of 10years and let's see if am also a good businessman or not

This Dangote wise abeg

He knew noodles was not working for him,and he has done away with it...a smart bizness man...

That is the power of competition... upon all the money dangote have , he still can't compete with his competitors in noodles production.... and some people will be hailing him as business expert

interesting
Couldn't crack that market?

That noodles market is spiritual, despite the fact there are many better noodles the Nigetian masses loyalty is stuck with de uniteds Indomie

Didn't want to become a Jack of all trade master of none.

The Makers of "Indomie" are the real MVPs, more than 30% of Nigerians dont use the word 'noodles', they call it "Indomie" and it isn't even the best noodles in the country they simply did their homework very well, what is amazing about it is that they don't even waste money on brand ambassadors and irrelevant shows yet.............. Most of these 'executive marketing managers' with all their fancy degrees don't understand the Nigerian market one tiny bit, whoever is in charge of marketing in Glo is doing a very poor job, with the amount of money they spend on marketing, glo sims should be scarce even if their network only comes on 3 hours every day......

No doubt. Indomie (De-united) has dominated the Nigerian market. They were the only producers for a very long time before competitors came in; hence the Monopoly.

Business is a game and I love this game like WTF!

Na so, when him know say him noodles no dey sell!

A well calculated moves for him I guess.

Hmmm...

Interesting times are ahead of us.

FarahAideed:
That noodels market is spiritual, despite the fact there are many better noodles the Nigetian masses loyalty is stuck with de uniteds Indomie

Which one is better ni?

My brand loyalty for Indomie no b hia.

-Lord

What has CBN picture gat to do with this now?

Okay.

HEYAH