CONGLOMERATES NIGERIA

An informative website on business conglomerates in Nigeria


Major Conglomerates in Corporate Nigeria


Nigerian business scenario has been dominated by large privately managed business conglomerates which have taken on diverse commercial activities and have grown exponentially over the past 25-30 years. Some of them have gone to list in the Nigerian stock markets and embarked on further expansion with the aid of public equity. Traditionally most of these conglomerates are family owned and managed but have senior professional managers running the show at the both the strategic and market levels.

In a complex market like Nigeria, only strong willed and capable players have managed to survive the tough business conditions and hectic competition. The composition of these conglomerates is a mix of foreign and local owned structures, with each organization creating a niche for themselves in the marketplace.


TOP CONGLOMERATES

TRANSNATIONAL CORPORATION OF NIGERIA
THE DANGOTE GROUP
MIKE ADENUNGA GROUP
OLAM GROUP
STALLION GROUP
CHURCHGATE GROUP
OANDO GROUP
A G LEVENTIS PLC


TRANSNATIONAL CORPORATION OF NIGERIA

WEBSITE: http://www.transcorpnigeria.com

Transnational Corporation of Nigeria PLC (Transcorp), is a corporate conglomerate based in Lagos, Nigeria. Formed in 2004, Transcorp holds investments in oil, power, tourism, and communication companies.

In 2006, Transcorp entered the news as the purchaser of NITEL, the Nigerian government-owned telecommunications provider.
Transnational Corporation of Nigeria Plc (“Transcorp”) was incorporated in 2004 in response to the need to establish a “Mega Corporation”, “created” in Nigeria and owned by all Nigerians, which will respond to market opportunities that require heavy capital investment not just at home but in the sub African region and around the world. Transcorp will be the vehicle to reposition Nigeria in Africa and the world, as a nation ready to compete in global markets. Transcorp is made up of Nigeria’s most influential business people and most successful businesses. Household names and the Nation’s premier brands are all part of Transcorp.


THE DANGOTE GROUP

WEBSITE http://www.dangote-group.com

The core business philosophy of the Dangote Group is to provide their customers with a high level of customer care and service. The group is continually investing in qualified staff and IT network that will ensure that these high levels of service is carried through into a market place that is becoming more sophisticated.

The Dangote Group has five regional offices located in strategic locations throughout Nigeria. Each of these offices has regional autonomy and responsibility for specific targets. By having these regional offices the Dangote Group ensures easy and frequent communication with all their customers, which again allows for superior customer care.

The group understands the inherent constraints of operating in a developing economy, and has structured their business around an extended value chain - thereby ensuring the care and service that the Dangote group has become known for. The group's primary activities are manufacturing, imports packaging and nationwide distribution. In line with the Nigerian Governments' stated objective of driving economic growth, importation of raw material will gradually be replaced by the manufacturing or cultivating of these materials within Nigeria.

Some of the Dangote products are also exported to other countries in West Africa such as Benin and Ghana. Although currently a small contributor to the overall business, exports are expected to show growth of between 15% - 20% over the next 5 years.

The Dangote group has currently 15 different manufacturing and bagging plants. These plants are all less than 4 years old and are located throughout Nigeria. These plants are equipped with some of the best technologies available. The group has employed companies that are world leaders in the various technologies, i.e. Buhler AG (Switzerland) for the flour and pasta plants, Tate & Lyle (UK) for the sugar refinery, Haver & Boecker (Germany) and BMH Sivertell (Sweden) for the cement terminals and Starlinger (Austria) for the Polypropylene Sack Factories.


MIKE ADENUNGA GROUP

WEBSITE: N/A

Though a late entrant into Nigeria's hugely lucrative telecommunication sector after a failed bid with their Communications Investments Limited (CIL) brand, the Adenugas have within a short time grown Globacom to become Nigeria's second national operator behind MTN, and with over 6 million subscribers and market reputation as Nigeria’s fastest growing mobile service provider, there seems to be no end in sight to the group’s phenomenal growth.

The Michael Adenuga (MA) Group consists of Conoil, a downstream oil operations outfit, Consolidated Oil, an oil exploration and exploitation firm and Equatorial Trust Bank, in addition to stakes and interests in construction and real estate firms.


OLAM GROUP

WEBSITE http://www.chanrai.com

The history of the Olam Group founded by Kewalram Chanrai dates back to 1860. It was established in India as a trading house dealing in textiles.

Today, the Olam Group is a multi-national conglomerate. It has operations in the commercial hubs of Asia, West Africa and USA. The Group operates in 35 countries around the world and it employs more than 10,000 trained and motivated staff around the world which includes several highly qualified professionals to manage and operate these businesses.

While the Olam Group has its origins in textile trading, it has successfully ventured into several high growth sectors. These include manufacturing, distribution, international trade, property development and agriculture. The Group is financially strong and independent. It is in this respect that Kewalram Nigeria Limited offers it's principals a business window into Nigeria.


STALLION GROUP OF COMPANIES

WEBSITE: http://www.stalliongroup.com

Stallion is a leading business conglomerate with well entrenched business presence in the West African markets, owned by the Vaswani brothers, Sunil Vaswani, Haresh Vaswani and Mahesh Vaswani.

The organization has a highly specialized infrastructure across the region with a perfected in house expertise in conducting viable business activities in these complex markets. Operating in the Sub Saharan Africa for more than two decades, Stallion has expanded rapidly into one of West Africa’s largest business conglomerates with well consolidated business lines, extensive infrastructure and valuable human resources.

Today Stallion is the controlling entity of a number of leading businesses in trading, agriculture, manufacturing, automotive and services sectors of Nigeria and the regional economy.

Stallion specializes in sourcing, importation, warehousing and distribution of products of mass consumption in the most complex of jurisdictions in West Africa. Given the numerous years of market experience, well entrenched infrastructure and optimal management of the supply chain, the group has managed to secure market leadership position in the diverse product lines.

Stallion has also invested in agriculture and local manufacturing industries with view to driving future growth of the businesses through effective utilization of indigenous resources. In doing so the group has deployed world class production technologies and equipment, often in collaboration with leading international companies and at the same time training local human resources to international benchmarks.

Stallion fledgling business interests include Shipping, Banking, Manufacturing (textiles, motor vehicle assembly, Industrial and consumer plastics), Agriculture (rice farming/milling, deep sea fishing/shrimping), Commodities and General trading (rice, sugar, frozen fish, fertilizers, chemicals, steel, building materials), Construction/Property Development, Exclusive Sole representatives of Automobiles (Audi, Volkswagen, Honda, Skoda, Hyundai and Mahindra).

In Nigeria, Stallion continues to pioneer professionalism in approach and adopt international best practices in business, while maintaining its market leadership position across product lines through customer oriented policies. Globally, Sunil Vaswani with his brothers Haresh Vaswani and Mahesh Vaswani is spearheading expansion into new markets and industries.


THE CHURCHGATE GROUP

WEBSITE: http://www.churchgate.com

The Churchgate group is one of Nigeria's foremost industrial conglomerates, contributing to industrial development through the establishment of export oriented industries, diversification in the non-oil sectors and investment in the reactivation and turn around of ailing industries.

With investments in key sectors of the economy, the group is at the forefront of Nigeria's commerce and industry and is easily acknowledged as one of the nation's business leaders. This has been implemented through a clearly defined strategy of reinvesting for growth in projects aimed at achieving nationally articulated objectives of import substitution, backward integration and export promotion.

Activities of the group include, manufacturing and export of cotton and synthetic yarn, manufacture and export of woven, processed and printed fabrics and grey baft, cotton ginning, manufacture and export of textile dyestuffs, deep sea fishing and shrimping, processing of beer. Others are: import / distribution of consumer products, export of agricultural products and raw material, shipping, clearing and forwarding, banking services, insurance broking, stock broking, and research, quality control and development services.

As it continues to set the pace of industrial development in Nigeria, Churchgate is poised to meet its growing demand for goods and services. The group remains confident in the power and potential of the Nigerian economy and will continue to combine the nations natural and human resources with the best technology available to promote and consolidate industrial development in Nigeria.


OANDO GROUP

Oando Group is Nigeria’s largest energy group with strategic investments in a range of energy companies across West Africa. The group is differentiated by the Oando Brand and consists of five main companies namely, Oando Marketing - the marketing side of the business; Oando Supply and Trading - Large scale import and export of Refined petroleum products and crude oil; Gaslink - Local distribution of natural gas via pipelines; Oando Energy Services Limited - Oil and Allied Services; Oando Exploration and Production Limited - Upstream activities; Oando Refining - Local refining of petroleum products and Oando Power - Independent Power Plant Developer.

These diversified revenues streams drive incremental earnings growth for the group and ensure that performance is not dependent on any one particular business line. With its investments and diversification into alternative energy sources, the company is fast achieving its goal of being "the leading integrated energy solutions provider".

Oando was listed on the floor of the Nigerian Stock Exchange in February 1992. The company currently has a Market Capitalization of approximately N55 Billion (US $350 million) with almost 600,000,000 shares outstanding. It is one of the top ten (by market capitalization) Nigerian controlled companies quoted on the Nigerian Stock Exchange. Oando plc is a customer-focused and performance driven company that is comprised of a group of companies that symbolize dynamism, integrity, service delivery and professionalism in the energy sector. From its origins in downstream petroleum products marketing, Oando has recently redefined its business imperative to encompass the entire value chain in the Oil & Gas Industry.

In 2005, Oando Plc became the first African company to seek a cross-border inward listing on the Johannesburg Stock Exchange. The company was listed in November 2005 with the introduction of its entire issued share capital on the main board of the JSE, in the Resources – Oil and Gas Sector.

Oando is “A proudly African Company”, that has in just four years, successfully evolved from being the 7th placed petroleum marketing company listed on the Nigerian Stock Exchange to the premier position. The company attained the status of an integrated energy solutions provider, by adding gas, international supply, trading and energy services to its present stable of offerings and is currently incubating upstream oil and power initiatives. It is envisioned that Oando shall become a leader in the African Energy Sector, delivering world-class service on the Continent.

The Company has grown its revenue at a compounded average of over 304% per annum since the year 2000, whilst revenue is projected to be in excess of N200 Billion (US$1.4 Billion) by the year 2006. The Company has grown net profits at a compounded annual average of 11% in the last 5 years, despite thinning margins from the sale of its traditional products (Gasoline, and other distillates). A total shareholder return of 500% was achieved in the same period. The company boasts of one of the most diversified shareholder base with over 280,000 shareholders.
Oando’s exemplary standards of corporate governance was recently commended by the Nigerian Stock Exchange with the “Quoted Company of the Year Award” and the “Best in Downstream Petroleum Sector” for year 2003 and 2004.


A G LEVENTIS NIGERIA PLC

The international Leventis Group traces its presence in Nigeria back to the early 1920s when its founder, Cypriot-born Anastasios G. Leventis, set up an import export business. The group’s sustained confidence in the country is reflected today in the hugely diverse activities of its operations in Nigeria, which make it one of the biggest companies in West Africa.

The Leventis Group in Nigeria is a hugely diverse conglomerate consisting of A.G. Leventis (Nigeria), the Nigerian Bottling Company, Frigoglass Industries (Nigeria) and Consolidated Breweries.
The A.G. Leventis Group (Nigeria) was incorporated under its present name as a limited liability company in 1958, converting to a public company in 1978. Its principal activities include sale and servicing of cars, commercial vehicles, agricultural and construction equipment and property letting.

The Nigerian branch of the A.G. Leventis Foundation, which supports educational, cultural and philanthropic causes, was established in 1988.
 

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