Dangote Group, a leading Nigerian conglomerate, has announced a $45bn investment programme aimed at expanding its industrial businesses and achieving $100bn in annual revenue by 2030. This ambitious plan is part of the group's strategy to drive growth and increase its market presence. The programme will focus on various sectors, including cement, refining, petrochemicals, fertiliser, and sugar. By investing heavily in these areas, Dangote Group aims to become a major player in the global market.
Dangote Cement, the group's largest cash-generating business, plays a crucial role in the expansion plan. The company plans to increase its production capacity from 55 million tonnes per annum to over 80 million tonnes. This growth strategy is described as "disciplined, self-funded growth whilst delivering on yield." Dangote Cement has reported strong financial performance, with revenue reaching $3.1bn in the 12 months to June 2026, representing a 22% year-on-year increase.
Dangote Cement's financial performance is characterised by strong cash conversion and returns on capital. The company's cash conversion stood at 89% in the 12 months to June 2026, while return on capital employed was 68%. These figures demonstrate the company's ability to generate cash and create value for its shareholders. Additionally, Dangote Cement reported a 5% dividend yield for the 12 months to June 2026, with its dividend growing at a 22% compound annual growth rate between 2023 and 2025.
The company's expansion strategy is capital-light, leveraging existing production assets and logistics infrastructure to drive growth. Dangote Cement plans to expand into cement-based adjacencies, including aggregates, mortars, dry mixes, and ready-mix concrete or precast products. This approach enables the company to diversify its offerings and increase its market presence. With an African footprint spanning 11 countries and sales in 25 countries, Dangote Cement is well-positioned to capitalise on growth opportunities in the region.
Dangote Cement's geographic revenue distribution shows Nigeria accounted for 69% of FY2025 revenue, while West Africa contributed 13%, East Africa 12%, and Southern Africa 8%. The company's export sales reached three million tonnes in 2025, with 34 clinker shipments dispatched from Nigeria to various countries. These figures demonstrate Dangote Cement's significant presence in the African market and its potential for further growth.
At the group level, the $45bn investment plan extends beyond cement into various industrial businesses. Dangote Group is targeting $30bn in adjusted EBITDA by 2030, alongside its $100bn revenue objective. The company's large resource and logistics base will support this expansion, with approximately 4.2 billion tonnes of limestone reserves and an estimated 80-year mine life. The flagship Obajana plant has 16Mta of installed capacity and about 1.0 billion tonnes of limestone reserves.
For investors, the key financial issue is how efficiently Dangote converts its existing operations into cash and capitalises on those returns as it expands. The next test will be whether the company can maintain its levels of cash generation and capital efficiency as it moves towards over 80Mta of capacity and executes its $45 billion investment programme. According to Dangote, the company offers a differentiated opportunity to invest in Africa's generational build-out, capturing structural trends that will drive Africa's build-out and the cement demand shift.
Key points
- Dangote Group plans to invest $45bn to expand its industrial businesses and reach $100bn in annual revenue by 2030.
- Dangote Cement aims to increase production capacity from 55 million tonnes per annum to over 80 million tonnes.
- The company targets $30bn in adjusted EBITDA by 2030, alongside its $100bn revenue objective.
