Nigeria’s Dangote Cement Sells $289 Million Stake to Wealth Fund

Dangote Cement Plc (DANGCEM), the Nigerian industrial company owned by Africa’s richest man, sold a 1.5 percent stake to an unidentified sovereign wealth fund, according to Renaissance Capital, which helped manage the sale.

The stake was sold at 179 naira share, valuing the deal at 45.8 billion naira ($289 million) and giving the Lagos-based company an implied market capitalization of $19.3 billion, Moscow-based Renaissance Capital said in an e-mailed statement. The stake was sold by Dangote Industries Ltd., which owns 95 percent of the company, according to data compiled by Bloomberg.

Dangote Cement is Africa’s biggest producer of the building material and has production capacity of 19.3 million metric tons in Nigeria, with plans to increase that to 29 million tonnes by 2015. It’s owned by billionaire Aliko Dangote.

The shares were unchanged at 210 naira at the 2:30 p.m. close in Lagos. The stock has gained 64 percent this year, out pacing the 42 percent increase in the Nigerian Stock Exchange All-Share Index. (NGSEINDX)

To contact the reporters on this story: Jason Corcoran in Moscow at jcorcoran13@bloomberg.net; Chris Kay in Abuja at ckay5@bloomberg.net

To contact the editor responsible for this story: Dale Crofts at dcrofts@bloomberg.net

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