As part of an ambitious expansion strategy, Nigerian conglomerate, MSM Group, is ramping up its footprint in the country’s industrial sectors with multi – billion dollar investments in the cement industry and power plants.
The strategic plan of the company, currently a major player in the nation’s oil and gas industry, is to diversify its operation by going into cement production and power generation, with the aim of becoming a key player not only in Nigeria, but also across Africa’s energy and construction sectors.
Its immediate goal in the construction sector is to be a formidable competitor to established industry giants, like Dangote, Lafarge, BUA and Mangal Cement .
In the power sector, it plans to acquire the Geregu Power Plant, one of Nigeria’s most strategic power assets owned by billionaire philanthropist, Femi Otedola.
Industry watchers ascribe the group’s ambitious strategic moves to what they describe as the current administration’s “economic reforms and investors- friendly policies.”
They believe that the group’s expansion drive could be significant alter the competitive dynamics of both the energy and construction markets in Nigeria and Africa.
Recently, the group signed a $2.4billion agreement with the Kebbi State government for the development of a three million metric ton per annum cement plant.
The project, which is expected to generate over 45,000 direct and indirect jobs, marks one of the largest industrial commitments in the region in recent years.
The signing ceremony was held in Abuja and attended by top officials of Federal and Kebbi governments.
The project aligns with Nigeria’s broader industrialisation drive and is set to stimulate economic activity in Northern Nigeria.
The company’s ambitious expansion plans, unveiled by its Chairman, Alhaji Muazzam Mairawani, indicate that the new cement plant will be developed in four phases, with each phase or cluster expected to attract investment exceeding $600million, marking a significant capital injection into the nation’s economy.
“From now to production, our timeframe is a maximum of two years,” he said, adding that MSM plans to expand to other states after Kebbi.
Other states being targeted are Edo and Gombe. If it successfully established plants in both states , its bid to compete with Dangote, BUA Cement and Lafarge Africa will be strengthened.
MSM Group , it was learnt , has embarked on an industry wide recruitment drive to support its growing operations and fill vacancies across its portfolio.
“ Yes, we plan to expand our operation. That’s all that can be said for now, “ an official of MSM Group, who craves anonymity, said.
MSM Group is active in pipeline metering which is “the process of accurately measuring the flow of fluids such as oil, gas or water through pipelines.”