Two Nigerian producers to raise capital funding of NGN250bn

Nigerian cement producers Dangote Cement Plc and Lafarge Africa Cement Plc have launched new capital raisers which are scheduled to conclude in 4Q18.

Dangote Cement is raising NGN150bn (US$413.8m) in debt capital and has already obtained NGN50bn of this new debt capital. According to the company, the net proceeds will be used to finance capital expenditure, working capital and corporate purposes.

Meanwhile, Lafarge Africa's shareholders have approved a resolution to raise more than NGN100bn to optimise its balance sheet either through an offer of debt, equity or a combination of the two. This comes on top of last year's oversubscribed rights issue for the company that raised NGN131.6bn.