The Societe d’Investissement pour l’Agriculture Tropicale NV (SIAT Group) has announced a strategic restructuring that will consolidate its edible oil businesses in Nigeria and Ghana under Presco Plc, a fully integrated agro-industrial company, to be part of the market expansion initiative.
This decision implies that, henceforth, Ghana Oil Palm Development Ltd, GOPDC; SIAT Group’s Nigerian subsidiaries, Presco Plc and Siat Nigeria Limited, SNL will now operate independently under Presco Plc but as subsidiaries of the group.
With this, the new business structure the group strives toward long-term growth in assets and customer base across West Africa through sustainability, market advantage, and leadership.
According to Felix Nwabuko, Group CEO, SIAT NV Group, “The idea has been to take a holistic look at the industry to create and further expand opportunities within the market.”
“This strategic consolidation of our affiliates in Nigeria and Ghana – GODPC, SNL, and Presco – is a pointer to our commitment to expand the agro-allied industry within Africa,” he said.
“We have secured a strong market position, and we are working in step with our subsidiaries to deepen value for our stakeholders across the board,” he noted.
He explained that, to this effect, the strategic ingredient of business growth for the organization would remain that of staying connected but not merged. He lauded the management at GODPC, SNL, and Presco for making this integration a reality with the spirit.
“With appropriate compliance with relevant regulatory guidelines, we are assured that Presco Plc will evermore act to stimulate sustainable business growth and profitable relationships to aid the quest for integrating the edible oil sector in Africa.”
Presco, SNL, and GOPDC will remain associate companies of SIAT Group and be individually supported by the company as usual. As associate companies, Presco, SNL, and GODPC‘s stakeholders will continue to benefit from the SIAT Group’s network of industry and technical expertise that adds depth to their market value and drives their evergreen individual success.
The reorganization of the companies is in line with SIAT Group’s strategic plans aimed at improving the financial muscle of the company, stimulating investors’ appetite, and maximizing impact amongst its stakeholders.
The consolidated Presco Plc. will bridge the existing gaps in supplies within the African market, thus leading to industry growth and market opportunities as a block subject to regulatory requirements in Ghana and Nigeria.
The restructuring particularly places GODPC on a strong platform in the Ghanaian market to power the economic contributions, market share, and capacity of the company in filling commercial gaps in the local market.
The consolidation further underlines SIAT Group’s ambition to grow key business lines in the palm oil and natural rubber sectors in Africa and has positioned it in a vantage to lead environmentally, financially, and socially responsible gestures for business into the future to the benefit of all stakeholders and as part of efforts at creating a better world.