(Ecofin Agency) - Flour Mills of Nigeria Plc. (FMN), says it has increased its stakes in ROM Oil Mills (ROM), from 90% to 95 per cent. In a statement to the Nigerian Stock Exchange (NSE) on Monday, the company said that with the development, the Shahimi family (ROM Oil’s founding family) jointly own five per cent minority stake in ROM.
According to the Group Managing Director of FMN, Paul Gbededo (photo), the move is in line with efforts to continually invest in the development of quality foods and agro-allied products. “FMN is fully confident that its new investment will help to strengthen the company in its drive for economic growth and industrial development of Nigeria.”
It should be recalled that in 2012, Flour Mills acquired 90% of ROM Oil in a bid to enter the edible oils market in Nigeria. In 2014, Flour Mills commissioned ROM’s upgraded oil refining and margarine plant in Ibadan. The plant is presumed to be the largest in Sub-Saharan Africa.
“FMN strongly believes that the operation of ROM Oil will continue to significantly help to maximize local content, achieve foreign exchange savings and will have a big impact on feeding the nation better,” Gbededo said.
Established in 1960, Flour Mills Nigeria Plc., is one of the largest and most successful industrial conglomerates in Nigeria. The company is engaged in flour milling, pasta production, fertilizer distribution, and polypropylene bag manufacturing.