PZ Cussons Exits Nigerian Palm Oil Market, Sells PZ Wilmar $70m Stake

PZ Cussons Plc is pulling out of Nigeria’s palm oil industry after agreeing to sell its 50% share in PZ Wilmar Limited to its partner, Wilmar International, for $70 million in cash.

The two companies had formed the joint venture in 2010, but once this deal is approved by regulators and finalized before the end of 2025 Wilmar will take complete control of PZ Wilmar, including ownership of popular cooking oil brands like Mamador and Devon King’s.

A statement released on Wednesday confirmed the agreement between both parties and noted that PZ Wilmar’s name would eventually be changed.

The statement said, “PZ Cussons Plc and Wilmar International Limited have agreed definitive terms for Wilmar to purchase the 50 per cent equity stake in PZ Wilmar Limited held by PZ Cussons Plc, for a cash consideration of $70 million.”

Following the completion of the transaction, Wilmar will hold 100 per cent equity in PZ Wilmar, with a change of name to be announced in due course.

Speaking on the exit, PZ Cussons Plc CEO Jonathan Myers said the decision marks the end of a successful collaboration that has had a real impact in Nigeria’s consumer market.

“Our joint venture with Wilmar in Nigeria has been a long-term and rewarding partnership for us both. I want to thank the Wilmar leadership for their support, and our PZ Wilmar employees for their contribution and great results over the years,” he said.

He added, “PZ Wilmar is in the best possible hands to build further on its market-leading position, while PZ Cussons continues to invest in and grow its core business.”

Wilmar International, listed on the Singapore Stock Exchange, said acquiring full ownership of PZ Wilmar reflects its long-term confidence in Nigeria’s food and agriculture industry.

Kuok Khoon Hong, Chairman and CEO of Wilmar, said the company remains optimistic about Nigeria’s future in palm oil, citing the country’s large population and suitable growing conditions.

He said, “We are bullish on the long-term potential of Nigeria’s palm oil sector, given its large and growing population and suitability for palm cultivation.

“The Nigerian market’s strong demographics, with more than 200 million consumers, offers a significant opportunity for growth in food and nutrition. It is Wilmar’s intention to continue developing both upstream and downstream businesses in Nigeria.”

PZ Wilmar has grown into one of Nigeria’s leading players in sustainable palm oil, holding minority interests in two plantations primarily owned by Wilmar.

The company’s exit does not affect PZ Cussons Nigeria Plc, which was never a shareholder in the joint venture.

PZ Cussons said the sale gives them room to concentrate more on their key product lines, particularly in hygiene, baby care, and beauty.

KanyiDaily recalls that in 2023, Procter & Gamble, a multinational consumer company, exited Nigeria after a 31-year presence, resulting in the loss of five thousand direct jobs for the country.