Nigeria’s Senate has thrown its weight behind the proposed $1 billion acquisition of Lafarge Africa Plc by Chinese investment giant Hainan Huaxin Pan-African Investment Company Plc, dismissing concerns that the landmark transaction could undermine Nigerian ownership or national economic interests.
The upper legislative chamber said its review of the deal found no evidence that the acquisition would erode the 16.19 percent equity stake currently held by Nigerian investors, assuring shareholders that their investments remain fully protected under the proposed ownership structure.
The Senate’s endorsement follows growing public debate over the future of one of Nigeria’s largest cement manufacturers, with stakeholders raising questions about foreign control of strategic assets, local participation, employment security and regulatory oversight.
Lawmakers maintained that the proposed transaction complies with existing legal and regulatory frameworks governing mergers and acquisitions, stressing that the deal does not amount to a transfer of Nigerian investors’ holdings to the foreign buyer.
According to the Senate, the Chinese firm’s acquisition is expected to proceed through established corporate and regulatory processes, while preserving the rights and interests of minority shareholders in accordance with Nigeria’s capital market regulations.
The chamber further underscored the importance of balancing foreign direct investment with the protection of national economic interests, noting that attracting strategic international capital remains vital to industrial growth, technology transfer and long-term economic development.
The acquisition, valued at approximately $1 billion, is one of the largest foreign investment transactions in Nigeria’s manufacturing sector in recent years and is expected to reshape the ownership structure of Lafarge Africa, a major player in the country’s cement industry.
Despite the Senate’s assurances, analysts say the transaction is likely to remain under close public and regulatory scrutiny as authorities monitor its implications for competition, local employment, corporate governance and Nigeria’s broader investment climate.
With the Senate’s backing, attention now shifts to the relevant regulatory agencies expected to complete the final approval processes before the transaction can be fully consummated.
