Edha Nahdi talks $380 million cement expansion with Kenya’s president

Key Points

• Amsons Group plans a $380 million investment to expand Bamburi Cement’s operations, boosting Kenya’s manufacturing capacity and job creation.
• The acquisition of Bamburi Cement, Kenya’s largest producer, strengthens Amsons’ role in East Africa’s industrial sector, backed by Kenyan and Tanzanian governments.
• With government backing, Amsons Group aims to become a leading cement producer in Kenya and Tanzania by 2030.

Tanzanian businessman Edha Nahdi, CEO of Amsons Group, recently met with Kenya’s President William Ruto at State House, Nairobi, to discuss a significant $380 million investment aimed at expanding Bamburi Cement’s operations. This comes after Amsons Group’s acquisition of Bamburi Cement, Kenya’s largest cement producer, marking a major step forward for the Tanzanian firm in fostering regional economic integration.

The $380 million investment is set to boost Kenya’s manufacturing capacity, create job opportunities, and contribute to the goals of the African Continental Free Trade Area (AfCTA). With strong backing from both the Kenyan and Tanzanian governments, Amsons Group is poised to solidify its role as a key player in East Africa’s industrial landscape.

Amsons eyes regional cement expansion

Founded in 2008, Amsons Group has transformed from a bulk oil importer into a diversified conglomerate, with interests spanning fuel, LPG, transportation, cement, and real estate. Under Nahdi’s leadership, the company has become a powerful force in East Africa’s infrastructure and industrial sectors.

Amsons Industries (K) Ltd, the company’s Kenyan subsidiary, recently completed the $182 million acquisition of Bamburi Cement after gaining regulatory approval and securing the endorsement of 96 percent of the shareholders. This acquisition represents one of the largest cross-border takeovers by a Tanzanian company in East Africa, further cementing Amsons Group’s growing influence in the region’s infrastructure sector.

President Ruto welcomed the deal, reiterating Kenya’s commitment to supporting investments that align with the country’s Vision 2030 and the objectives of the AfCTA. He emphasized the importance of strengthening economic ties between Kenya and Tanzania, highlighting the private sector’s role as a key driver of growth.

Nahdi expressed optimism about the company’s regional expansion plans, stating, “With the support of both the Tanzanian and Kenyan governments, we are progressing well. By 2030, we are on track to become one of the leading cement manufacturers in both markets.”

Amsons Group plans broader $400 million investment

As part of its long-term growth strategy, Amsons Group has also unveiled a broader $400 million investment plan, which includes upgrading Bamburi’s grinding and clinkerization facilities and building a new clinker plant in Matuga, Kwale County. This move is designed to enhance production efficiency, secure access to essential raw materials, and support the company’s regional expansion.

Industry analysts have praised the expansion, calling it a critical development for Kenya’s cement and construction sectors and positioning Amsons Group as a dominant force in the regional market. The acquisition is also seen as a reflection of the increasing influence of Tanzanian companies in East Africa’s business environment.

The Tanzanian Private Sector Foundation (TPSF) and the Tanzania Investment Centre (TIC) have both commended the deal, recognizing it as a major milestone in Tanzania’s outward investment strategy. This acquisition signals a growing trend of cross-border investments by Tanzanian firms, reinforcing the country’s economic presence in the region.