Benson Ndeta, a leading figure in Kenya’s construction industry, is drawing significant attention with his ambitious acquisition of Bamburi Cement in a deal valued at KSh 25.4 billion.
Ndeta, who serves as the Executive Chairman of Savannah Clinker Limited (SCL), has outbid the Tanzanian conglomerate Amsons Group in a competitive race to gain control of one of Kenya’s foremost cement manufacturers. Ndeta’s bid surpasses Amsons’ offer of KSh 23 billion, enabling SCL to potentially acquire up to 100% of Bamburi’s issued ordinary shares at KSh 70 per share.
This acquisition is poised to revolutionize the construction sector, with SCL seeking to secure 60% shareholder approval, thereby challenging Amsons’ earlier arrangement with Holcim, the Swiss multinational that holds a majority stake in Bamburi.
Ndeta’s involvement in the cement industry is not new. With over twenty years of experience in the business and construction sectors, he has previously served as the non-executive chairperson of East African Portland Cement and held a majority stake in Savannah Cement until 2022.
SCL’s bid presents more than just a financial advantage. As a locally incorporated company, Ndeta’s offer promises substantial tax benefits for the Kenyan government. Unlike foreign entities, dividends from SCL’s ownership of Bamburi would remain within Kenya, thereby benefiting the local economy. Additionally, Ndeta has committed to offering up to 40% of SCL’s shares to institutional and local investors, further reinforcing the company’s connection to the Kenyan market.
Founded in 2019, SCL is an emerging player in the construction industry, engaged in mining, manufacturing, processing, and packaging cement solutions. The company is also working on a limestone extraction and clinker processing plant in Kitui County, underscoring its dedication to expanding Kenya’s industrial capabilities.
