Wilmar International Limited, a Singaporean food processing and investment holding company, has reached an agreement to acquire a 50 percent stake held by PZ Cussons plc in their Nigerian joint venture, PZ Wilmar Limited, for $70 million.
The two parties announced the transaction in a joint statement on Wednesday.
According to the statement, the acquisition is subject to relevant regulatory approvals and is expected in the final quarter of 2025.
The completion of the acquisition will give Wilmar full ownership of the company.
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Commenting on the transaction, Kuok Khoon Hong, chairman and chief executive officer (CEO), appreciated PZ Cussons for their “cooperation and support since inception of this joint venture in 2010, which has contributed to its success and leading market position in Nigeria”.
“Wilmar is acquiring PZ Cussons plc’s 50% stake in PZ Wilmar as we are bullish on the long term potential of Nigeria’s palm oil sector, given its large and growing population and suitability for palm cultivation,” Hong said.
“The Nigerian market’s strong demographics, with more than 200 million consumers, offers a significant opportunity for growth in food and nutrition.
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“It is Wilmar’s intention to continue developing the upstream palm plantation and downstream businesses in Nigeria. As a global industry leader, Wilmar is well positioned to invest and realise these opportunities following the completion of the transaction.
“However, we recognise the importance of having strong local partnerships in the markets where we operate and will be looking for a suitable local partner for the business.”
On his part, Jonathan Myers, CEO of PZ Cussons plc, described the partnership with Wilmar as a “long-term and rewarding” relationship and said the divestment allows the company to double down on its core business segments.
“PZ Wilmar is in the best possible hands to build further on its market-leading position, while PZ Cussons continues to invest in and grow its core business,” Myers said.
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According to the statement, PZ Cussons Nigeria plc, a subsidiary of PZ Cussons plc, is not involved in the joint venture and is unaffected by the deal.
Following the completion of the deal, the company name “PZ Wilmar” will be changed, with a new identity to be announced later.
