Lafarge Africa moves to rebrand as HBM Nigeria Plc

By Chukwuma Umeorah

Lafarge Africa Plc has proposed a change of its corporate name to HBM Nigeria Plc, in a strategic shift reflecting its new majority ownership by China’s Huaxin Cement Co..

The proposal will be tabled before shareholders for approval at the company’s 67th Annual General Meeting (AGM) scheduled for April 30, 2026, in Lagos. The rebrand is one of several special resolutions on the agenda, alongside consideration of audited financial statements, dividend declaration, and board restructuring.

If approved, the change will amend Clause 1 of the company’s Memorandum of Association, formally altering its legal identity and marking the end of the Lafarge brand name in Nigeria.

The move follows the completion of Huaxin Cement’s acquisition of an 83.81 per cent controlling stake in Lafarge Africa from the Holcim Group in late 2025. The transaction, valued at about $1 billion, led to Holcim’s full exit from the Nigerian market and handed control of the cement producer to the Chinese firm.

The planned rebranding signals Huaxin Cement’s intention to deepen its presence in Nigeria’s construction materials sector at a time of sustained infrastructure demand and rising urbanisation.

Alongside the ownership transition, Lafarge Africa reported a strong financial performance for the 2025 financial year, which management says underscores the company’s operational resilience ahead of the proposed strategic shift.

Revenue rose to N1.1 trillion in 2025, up from N696.8 billion in 2024, representing a 53 per cent increase. Profit after tax climbed to N273 billion from N100.1 billion in the previous year, a 173 per cent rise. Operating profit also increased to N392 billion from N193 billion, supported by cost optimisation and improved efficiency.

Earnings per share rose from N6.22 to N17, reflecting stronger profitability across the period. The board has also proposed a final dividend of N6.00 per share, subject to shareholder approval and applicable withholding tax.

The company said the proposed name change is part of a broader restructuring framework expected to align governance, branding, and ownership structure following the change in control.

Chairman of Lafarge Africa, Gbenga Oyebode, said the development reflects confidence in the Nigerian market and its long-term growth outlook.

“This development will further solidify Lafarge Africa’s position as a leading contributor to Nigeria’s infrastructure and economic growth. Nigeria’s market holds vast potential with its positive growth indices, increasing urbanization, and infrastructure demand. We remain committed to leveraging these opportunities while maintaining our focus on sustainability and innovation.”