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By Merit Ibe and Chukwuma Umeorah
HBM Nigeria Plc has assured investors that its ongoing expansion programme and integration into the Huaxin Building Materials Group will deliver stronger long-term shareholder value, improve operational efficiency and position the company for sustained growth.
The company said the expansion of its Ashaka cement plant in Gombe State, expected to add 4.5 million tonnes of annual production capacity when commissioned in January 2027, would improve product availability, expand market reach and create opportunities for increased profitability.
The Group Managing Director and Chief Executive Officer, Lolu Alade-Akinyemi, speaking at a media parley in Lagos on Monday, promised investors increased shareholder value as the company broadens the scope of its operations.
“For shareholders, it is of great benefit because when you expand your capacity, when you focus on efficiency, when you do your business sustainably, what will happen? It means more money. It means more profits. It means more shares”, he said.
He added that the expansion, which would continue to drive the company’s zero-waste future through co-processing of non-recyclable waste, will also support employment, youth empowerment and local contractor development while positioning the company to participate more actively in Nigeria’s infrastructure and housing sectors.
“We’ll be able to employ more people, to develop more local contractors. The local content, I believe, will also expand.”
Alade-Akinyemi said the company sees significant opportunities arising from Nigeria’s infrastructure deficit and housing demand, noting that increased urbanisation would continue to support cement consumption over the long term.
“I’m sure you know that in Nigeria, the housing gap is about 18 million housing units. And then as we see more development in Nigeria, urbanization also will pick up. So more demand for housing and all that.”
He explained that the company’s transition to HBM Nigeria Plc followed the acquisition of Lafarge Africa Plc’s controlling stake by Huaxin Building Materials Group, adding that the new ownership provides access to engineering expertise and manufacturing capabilities expected to strengthen operational performance.
According to him, the additional production line at the Ashaka plant represents one of the earliest benefits of the acquisition. He said the Chinese building materials manufacturer produces cement-making equipment internally, enabling faster execution of expansion projects and improving operational efficiency.
Alade-Akinyemi added that the expansion would generate direct and indirect employment opportunities during construction and after commissioning, while creating additional business opportunities for suppliers and small and medium-sized enterprises within its value chain.
In her remarks, Viola Graham, Director of Communications and Corporate Affairs, said the media engagement formed part of activities marking the company’s transition to HBM Nigeria Plc and was intended to provide greater understanding of the corporate restructuring.
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Graham noted that the rebranding reflects the company’s new ownership under Huaxin Building Materials Group and aligns with its long-term strategy of market expansion, operational excellence and continued participation in Nigeria’s construction industry.
She said the company remains committed to supporting infrastructure development, economic growth and value creation despite the change in corporate identity.
Addressing concerns about the effect of the rebranding on customers, company officials clarified that the transition affects only the corporate identity and not its product portfolio.
The company said established cement brands including Elephant, Unicem and Ashaka would retain their names and product specifications, while quality standards would remain unchanged.
The management further said it would continue investing in research and development, low-carbon cement technologies and operational efficiency as part of its long-term strategy to remain competitive in Nigeria’s building materials industry.
The Head of HBM, Temitope Dosumu, collaborated the CEO’ stance on advancing the company’s sustainability agenda by collecting and co-processing non-recyclable waste that would otherwise end up in dumpsites or pose environmental hazards. Dosumu explained that many waste materials are neither recyclable nor properly managed, leaving them exposed in the environment despite being highly combustible.
“To address the challenge, HBM signed a Memorandum of Understanding (MoU) with the Lagos State Government to recover such materials from dumpsites and channel them into productive use.”
According to her, the initiative has created a value chain that provides economic opportunities for waste collectors and scavengers while promoting cleaner communities. The company collects non-recyclable waste from organisations and dumpsites, including plastic bottles, sachet water bags, black nylon packaging and other plastic materials that cannot be recycled.
“The recovered waste is transported to HBM’s collection platform, where it is baled before being sent to the company’s cement manufacturing facility for shredding and co-processing as an alternative fuel and raw material.”
Dosumu noted that HBM has consistently supported Lagos State’s environmental sustainability programmes, including its sanitation initiatives, as part of its commitment to environmental stewardship.
“Our vision is to promote a zero-waste future. We want to build a future where communities are no longer surrounded by waste and where only minimal volumes of waste end up in the environment,” she said.
Dosumu added that the company’s commitment goes beyond cement manufacturing, stressing that environmental protection and sustainability remain central to its operations.
“We are not just a cement company. We are focused on keeping the entire value chain clean while supporting sustainable manufacturing and creating a healthier environment for everyone.”
