By Onyeanya Ebere Immaculata
British consumer goods manufacturer PZ Cussons Plc has announced the sale of its 50 percent stake in PZ Wilmar Limited to its joint venture partner, Wilmar International Limited, for a cash consideration of 70 million dollars.
The move marks PZ Cussons’ complete exit from Nigeria’s palm oil sector, which it entered in 2010.
The transaction, which is subject to regulatory approvals, is expected to be completed by the final quarter of 2025.
Once concluded, Wilmar will assume full ownership of PZ Wilmar, the company behind popular household cooking oil brands such as Mamador and Devon King’s.
In a statement made available on Wednesday, PZ Cussons said, “PZ Cussons Plc and Wilmar International Limited have agreed definitive terms for Wilmar to purchase the 50 percent equity stake in PZ Wilmar Limited held by PZ Cussons Plc, for a cash consideration of 70 million dollars.”
Following the completion of the deal, Wilmar will own one hundred percent of PZ Wilmar. A new name for the company will be announced in due course.
Chief Executive Officer of PZ Cussons Plc, Jonathan Myers, described the exit as the end of a fruitful partnership that has made a meaningful contribution to Nigeria’s consumer goods sector.
“Our joint venture with Wilmar in Nigeria has been a long-term and rewarding partnership for us both.
“I want to thank the Wilmar leadership for their support and our PZ Wilmar employees for their contribution and great results over the years,” Myers said.
He added that PZ Wilmar is now well-positioned to build further on its strong market presence, while PZ Cussons will focus on growing its core businesses in hygiene, baby, and beauty products.
Wilmar International, which is listed on the Singapore Exchange, said the acquisition reflects its strong commitment to the Nigerian food and agriculture market.
Chairman and Chief Executive Officer of Wilmar, Kuok Khoon Hong, said the company sees great potential in Nigeria’s palm oil industry.
“We are optimistic about the long-term prospects of Nigeria’s palm oil sector, given its large and expanding population and the country’s suitability for palm cultivation,” he said.
He added that with over 200 million consumers, Nigeria’s demographics offer major growth opportunities in food and nutrition.
Wilmar also plans to continue expanding its upstream and downstream operations in the country.
Despite taking full ownership, Wilmar revealed plans to engage a strong local partner to support its Nigerian operations post-acquisition.
PZ Wilmar has become one of Nigeria’s leading sustainable palm oil companies. It also holds minority stakes in two palm plantations primarily owned by Wilmar.
Formed in 2010 as a joint venture between PZ Cussons Plc and Wilmar International, PZ Wilmar has grown into a key player in the country’s edible oil industry.
While PZ Cussons Nigeria Plc is a subsidiary of PZ Cussons Plc, it is not a shareholder in PZ Wilmar and remains unaffected by the deal.
PZ Cussons said the divestment allows it to refocus on its core product categories.
