Savannah Cement Returns To Kenyan Market After Takeover

Savannah Cement is back in the Kenyan market. The company which had faced challenges in recent years has been acquired by a consortium of local investors.

The new owners include Mombasa Maize Millers Kitui Flour Mills and Eldoret Grains Limited. The acquisition was finalised after court battles and a settlement involving loans from KCB and DTB.

Industry players say the return of Savannah Cement will increase competition in the cement sector. The company was known for producing affordable cement and had a significant market share before its troubles.

The new owners are expected to restart production at the Kitengela factory. Trailers have already been seen lining up at the plant indicating resumed operations.

This development is good news for the construction industry. More players in the cement market can help stabilise prices and improve supply.

Savannah Cement was bought for 3.8 billion shillings. The deal followed a period of financial difficulties for the previous owners.

The cement sector in Kenya remains competitive. Major players like Bamburi and East African Portland Cement continue to dominate but new entrants and revived companies are changing the landscape.

Construction experts welcome the return of Savannah Cement. The company had built a reputation for quality and affordability which many builders appreciated.

The acquisition shows confidence in the Kenyan construction sector. Despite economic challenges the demand for cement remains strong due to ongoing infrastructure and housing projects.

This move is also a boost for local investors. The consortium of flour millers is diversifying into cement production showing the growing interest in the building materials industry.