Bilfinger Berger reduces investments in Nigerian business
German builder Bilfinger Berger is moving forward with the reduction of its investments in the Nigerian business: the Group will initially sell 60 percent of Julius Berger International GmbH (JBI) in Wiesbaden to its associate, Julius Berger Nigeria PLC (JBN) in Abuja with the sale to take effect at the end of June. JBI brings together the engineering and services activities of Bilfinger Berger Nigeria. With about 400 employees, the company generated output volume of €350 million in 2011.
In accordance with the agreement, JBN will acquire a further 30 percent of the shares in JBI to take effect at the end of 2012. With this step, Bilfinger Berger reduces its investment in the business, which is part of the Building and Facility Services business segment, to ten percent by the end of the year. The two parties have agreed not to disclose the purchase price.
The Group thus follows the strategy announced last year of limiting its involvement in Nigeria exclusively to financial investments. Bilfinger Berger had already reduced its investment in JBN from 49.9 percent to 39.9 percent through a sale to a Nigerian investor. Here, too, remaining shares are to be gradually sold. At the same time, the Group's move also follows recent initiatives on the part of the Nigerian Government aimed at an increase of local content in the national economy.
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