BUA Cement Plc

BUA Cement is Dangote Cement's most credible challenger in the Nigerian cement market. For Lagosians building homes, BUA's 2-Sokoto and Cross River cement brands offer a competitively priced alternative — and the rivalry between BUA and Dangote keeps cement prices in check. Owned by Abdul Samad Rabiu's BUA Group (also behind BUA Foods), BUA Cement has been on a relentless capacity expansion drive. The new Sokoto Line 4 (3 Mtpa) and Edo Line 3 (3.5 Mtpa) plants commissioned in 2024-2025 push BUA Cement's installed capacity to 17 Mtpa — about half of Dangote's domestic capacity. The stock has been one of the standout NGX performers — up 72% YTD and trading at ₦418. The 220 basis points of gross margin expansion in Q1 2026 reflects both pricing power and operational scaling. For Lagos investors, BUA Cement is the play on Nigerian construction with a slightly more aggressive growth profile than DANGCEM.

BUA Cement Plc is Nigeria's second-largest cement producer, owned by Abdul Samad Rabiu's BUA Group — also the parent company of BUA Foods. The company emerged from the 2020 merger of Cement Company of Northern Nigeria (CCNN, Sokoto) and Obu Cement Company (Edo State), creating a unified cement champion to challenge Dangote. The combined entity operates four cement plants with total installed capacity of 17 Mtpa: Sokoto Lines 1, 2, 3 and 4 (8 Mtpa total), and Obu Lines 1, 2 and 3 in Edo State (9 Mtpa). The Obu plant in Okpella, Edo, serves the South-East and South-South markets while Sokoto serves the North. Listed on NGX in January 2020, BUA Cement has steadily expanded both capacity and market share. Revenue grew from ₦257 billion (2020) to ₦830 billion (2025), with PAT expanding from ₦71 billion to ₦205 billion. The company operates with significant gas-fired kilns, which provides cost advantages over coal-dependent competitors. Strategic projects include the Adamawa cement plant (in development, 2 Mtpa) and a planned Pan-African expansion targeting Cameroon, Chad, and Niger.