Wednesday 19 April 2017

Dangote Group sells noodles production assets to Indomie




Dangote Group has quit the production of noodles, selling the assets of Dangote Noodles to Dufil Prima Foods, makers of Indomie noodles.

A statement by Thabo Mabo, group managing director (GMD), Dangote Flour Mills (DFM), said the group exited noodles production because it did not consider it strategic.


Mabo it would focus its energies on flour and pasta production in order to improve in areas of quality, distribution and marketing.

The agreement reached by both parties sees Dufil producing noodles under the Dangote brand name for two years before changing it.

Deepak Singhal, chief executive officer, Dufil Prima Foods, while speaking said acquiring Dangote noodles would help his company “deepen and sustain their market share as well as gain a strategic advantage in terms of several range of noodles products in their stable”.

Singhal said Dufil would commence production with the brand name of Dangote Noodles immediately.

He added that most of the former staff of Dangote Noodles would be employed by Dufil, stating that redundant workers would be compensated with good severance package for their services to the company over the years.


(Ynaija)



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