PZ Cussons has announced its intention to exit Africa’s business environment. Speaking on Wednesday, April, 24, the company said it has begun a strategic review of its African businesses to exit Africa, partly due to economic challenges in Nigeria.PZ Cussons explained that its sales in Nigeria plunged by 48% due to the naira devaluation and inflation.
The
CEO of the company, Jonathan Myers, stressed the importance of looking towards
the future while respecting the company’s past, stating that the review’s
outcomes could include changes in ownership.
Myers
said, “The macro-economic challenges and complexities associated with operating
in Nigeria are significant, and there is much more to do to unlock the full
potential of the business.“
As
such, we have undertaken a strategic review of our brands and geographies and
have embarked on plans to transform our portfolio, refocusing on where the
business can be most competitive.” The company’s CEO said that in addition to
the challenges of the exposure in Nigeria, the group is too complex for its
size, with financial and human resources spread too thin to generate returns.
Speaking
further Myers stated that the company has received several approaches over the
years, however, it is yet to indicate interest in selling its shares in the
African consumer goods firm.
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