Ndeta set to gain controlling stake in Savannah Cement

Businessman Benson Ndeta is set to take controlling stake of Kenya-based Savannah Cement after he gained regulatory approval for a deal that would increase his interest in the company by 29.4 per cent.

In a press release, the Competition Authority of Kenya said it had granted Mr Ndeta’s acquisition of Savannah Cement  unconditional approval, according to local press reports.

Savannah Cement currently has two shareholders — Seruji with a 60 per cent stake and Savannah Heights with a 40 per cent stake. Mr Ndeta owns 51 per cent of Seruji and 35 per cent of Savannah Heights.

Sources familiar with matter told Business Daily Africa that following the transaction, Mr Ndeta will own 100 per cent of Seruji. Given his present holdings in Savannah Heights, this raises his effective stake in Savannah Cement to 74 per cent from 44.6 per cent.  According to the report, Mr Ndeta said the changes in shareholding would have no impact on the company’s operations.

Savannah Cement runs a 1.5Mta grinding plant in Nairobi, which it plans to increase to 2.4Mta with the installation of a second grinding unit due for completion in mid-2018.