Flour Mills of Nigeria’s Sugar Refinery to Start in 2012

Flour Mills of Nigeria Plc (FLOURMIL)’s sugar refinery, which is under construction in Lagos, will start producing the sweetener in the second quarter of 2012, said Vlassis Liakouris, the company’s group treasurer.

The refinery will have an initial capacity of 750 metric tons a year, he said during a conference call today.

Flour Mills has also taken a 28 percent stake in Unicem, a cement-manufacturing company in eastern Nigeria, Liakouris said. Unicem is a joint venture with Lafarge SA (LG) of Paris and Holcim Ltd. (HOLN) of Switzerland, he said.

Flour Mills paid 4.9 billion naira ($32 million) for the Unicem investment, Liakouris said. Flour Mills shares rose 5 kobo, or 0.6 percent, to 85.5 naira by the 2:30 p.m. close in Lagos, today. The stock has risen 24 percent this year, compared with a 7.8 percent decline in the Nigerian Stock Exchange All- Share Index.

To contact the reporter on this story: Vincent Nwanma in Lagos at vnwanma@bloomberg.net

To contact the editor responsible for this story: Dulue Mbachu at dmbachu@bloomberg.net

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