Dangote Flour Mills divests from noodle business, cedes assets to Dufil Prima Foods
(Ecofin Agency) - In Nigeria, Dangote Flour Mills announced last Tuesday that it sold its assets in the noodle business to“indomie” maker Dufil Prima Foods. DFM aims, through this deal, to focus on more strategic segments.
DFM’s group managing director, Thabo Mabo, said the group will focus on flour and pasta production where it has a stronger presence. For the GMD, the deal with Dufil Prima Foods is a “win-win” as Dufil Prima Foods will be able to use some of the infrastructures of Dangote Flour on an interim basis. However, under the terms of the agreement, Dufil Prima Foods will keep selling the noodles it produces under the name “Dangote Noodles” for two years before changing it.
Commenting the assets transfer, the Chief Executive Officer of Dufil Prima Foods, Deepak Singhal, confirmed the deal and said it would help the firm strengthen its present in the noodles market.