Tanzanian conglomerate Amsons Group has announced plans to strengthen its operations in Tanzania with two new expansion projects.
In addition to spending US$180 million to acquire Bamburi Cement, Amsons Group also announced a US$320 million development plan to build an integrated clinker and cement manufacturing facility with a capacity of 5,000 tonnes per day in Tanga, Tanzania.
Amsons is gearing up for a major development at its recently acquired Mbeya Cement Company in Tanzania, in a bid to expand its regional presence, while also planning to build a new mill that will lay the foundation for a transformational shift in the cement business in East Africa.
Appreciating the development, Mr. Edha Nahdi, Amsons Board Member, said the company is focused on its regional expansion strategy.
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If the acquisition of Bamburi Cement is successful, Nahdi also confirmed that the company plans to invest an additional US$400 million in foreign direct investment (FDI) in medium-term contracts for the development of Bamburi Cement’s crushing and clinker facilities. The offer, made by Kenyan company and investment vehicle Amsons Industries (K) Ltd, will involve the purchase of up to 100% of Bamburi’s shares at Sh65 per share.
In a contract published on October 22, 2024, Amsons announced plans to build a clinker plant in Matuga, Kwale County, to achieve self-sufficiency in raw materials and reduce the cost of producing Bamburi Cement. This investment will increase Kenya’s competitiveness in the regional economy.
Nahdi explains: “Thanks to the support of the Tanzanian and Kenyan governments, our expansion plans in the region are now progressing steadily.” We plan to be one of the largest companies in Kenya and Tanzania by 2030.
Amsons Group is a family-owned company established in Tanzania in 2006. Its main business historically involved the import of oil and petroleum products as Camel Oil Tanzania stores.
The Group is constantly evolving and expanding its production portfolio, including the recent acquisition of the Mbeya Cement Plant, with a production capacity of 6,000 tonnes per day. In addition, the Group has a 500 tonne/day grain mill, a state-of-the-art premix concrete plant, in-country container depots (ICD), petroleum and lubricants, liquefied petroleum gas (LPG) and a transport convoy travelling through Zambia, Malawi, Mozambique, the Democratic Republic of Congo, Burundi and Tanzania.
