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Dangote cement to list on Ghana Stock Exchange

The Largest cement manufacturer in Africa, Dangote cement has hinted to Citi Business News, it is considering listing on the Ghana Stock Exchange (GSE) in the near future.

It said although it has initiated plans to do so, it is for now focused on registering its presence in Ghana.

The cement producing giant who recently commissioned the largest cement plant in Africa intends to increase its production in Ghana.

It currently supplies 750,000 tonnes of cement a year to the Ghanaian market, but will increase this to 1.5 million tonnes by the end of this first quarter.

Dangote cement as at the end of 2011 was the most capitalized company on the Nigerian Stock Exchange at N1.716 trillion and is expected to list on the London stock exchange this year.

Business and Marketing Manager of Dangote cement in Ghana, Joseph Aboo told Citi Business News, the company will make the move after it properly establishes itself in Ghana.

“The plans are there but not yet. We want to establish ourselves. We want to instil confidence in the Ghanaian market and that is one of the factors that can support you when you want to enlist your company on stock exchange. So the confidence should be there, then the others will follow.”

Meanwhile, the cement manufacturer has indicated that it is unfazed by the dominance of a few cement companies in Ghana as it strives to penetrate the market.

The World Bank last year expressed worry over the 80% hold of the market by a few companies.

It further asserted the development had suppressed competition in the sector.

However, Mr. Aboo Citi Business News, it intends to increase its penetration into Ghana despite the situation.

“We believe that with the product that we have, the market will attest to the fact that we are the only company producing class 42.5r in the market. That is the strongest cement that you can have in Ghana. So with that quality imprint and with the price we are offering it’s a good deal. So with this, we are not afraid of the competition; we can penetrate and we can serve the market to their taste.”