Tanzanian firm tightens grip on Kenya’s cement market
By Noel Wandera, August 5, 2025Tanzanian industrial conglomerates are quietly deepening their footprint in Kenya, even as Dar es Salaam turns the screws on foreign investment at home.
In a move that signals the shifting dynamics of regional capital, Kalahari Cement Ltd, a Kenyan-incorporated vehicle linked to Tanzania’s Amsons Group, has launched a strategic acquisition of 26.3 million ordinary shares in East African Portland Cement Plc (EAPC).
The shares are being offloaded by British and Swiss investors, Associated International Cement Ltd and Cementia Holding AG, respectively, marking a pivotal transfer of control from European to African hands.
A full takeover
While the transaction stops short of a full takeover, it will hand Kalahari, and by extension Amsons, effective control of EAPC, one of Kenya’s oldest and most strategically located cement producers.
Kalahari is owned by Pacific Cement Ltd, which is fully controlled by Edhah Abdallah Munif, managing director of Amsons Group.
The group’s influence now straddles the region through a web of affiliated entities, including Amsons Industries (K) Ltd, Camel Oil (T) Ltd, and notably, Bamburi Cement Plc, which Amsons acquired in 2024 for $182 million (approx. Ksh23.5 billion).
With Bamburi already holding a 12.5 per cent stake in EAPC, the latest acquisition will consolidate Amsons-linked control to nearly 40 per cent, positioning the group as a dominant force in Kenya’s cement sector.
“We plan to be one of the largest cement manufacturers in Kenya and Tanzania by 2030,” Munif declared recently.
For Kenya, the transaction is significant beyond the headline numbers.
It comes at a time when the Tanzanian government under President Samia Suluhu has made clear its preference for domestic ownership in key sectors, tightening the rules for foreign investors and nudging homegrown capital to expand regionally instead.
Amsons’ aggressive foray into Kenya and its recent investment pledges of over $380 million (about Ksh49.02 billion) earmarked for Bamburi’s plant upgrades reflect this policy reorientation.
The EAPC deal, priced at Ksh27.30 per share and payable in US dollars, is currently undergoing regulatory scrutiny from the Competition Authority of Kenya, Capital Markets Authority, and the Ministry of Mining.
A key hurdle will be EAPC’s mining license, which requires ministerial consent for any material change in control, indicating how strategic the Athi River-based firm remains.
Strategic investor
Kalahari has applied for an exemption from Kenya’s mandatory takeover regulations, arguing that it is a “strategic investor” rather than a buyout operator.
“Although we have no intention of making a takeover offer for EAPC, we are required by the Takeover Regulations to issue this notice,” the company said in its filing.
It also framed the move as one that would support “the public interest” and deepen Kenya’s capital markets, a nod to Nairobi’s ambition to become East Africa’s financial hub.
In terms of operations, the deal could unlock new economies of scale. EAPC manufactures the Blue Triangle and Green Triangle cement products that are considered well-positioned for Kenya’s green building agenda.
The company also owns EAPC Uganda Ltd, offering Amsons a route back into the Ugandan market after its earlier divestiture of Hima Cement.