A consortium of prominent flour mill tycoons, including associates of Super Loaf, has acquired the beleaguered Savannah Cement factory in a Sh3.8 billion deal. The transaction, which brings to a close a prolonged period of uncertainty for the cement manufacturer, was executed through a newly registered entity, Savannah Cement 2025 Limited.
The acquisition follows Savannah Cement’s placement under receivership by KCB and Absa Bank, which were seeking to recover debts totaling Sh14.1 billion. The company had struggled financially for several years, ultimately prompting the two lenders to seek a buyer to salvage their non-performing loan exposure.
The new owners are high-profile investors in Kenya’s agribusiness sector, with links to some of the country’s leading flour processing companies, including Mombasa Maize Millers, Kitui Flour Millers, and Eldoret Grains Limited. While their core operations have historically been in maize and wheat milling, the group appears to be diversifying into cement—a sector seeing increased activity due to a surge in real estate and infrastructure development.
This move signals growing investor interest in Kenya’s cement industry, which has become an attractive target for both local and international players. The acquisition marks the end of a two-year search for suitable suitors for Savannah Cement, previously owned by a group of private investors, including businessman Peter Kuguru.
Industry analysts suggest that the flour millers’ entry into the cement space could bring fresh capital and operational efficiency to the troubled company. It also reflects a broader trend of consolidation and diversification among Kenya’s top business families, especially in sectors aligned with national development priorities.
With the deal finalized, the focus now shifts to how the new owners will revive the plant’s operations and restore its competitiveness in a market dominated by major players like Bamburi Cement, National Cement, and ARM Cement.
