PZ Cussons abandons Africa sell-off, bets big on Nigeria and continent’s growth

PZ Cussons Plc has dramatically reversed course, scrapping plans to divest its African subsidiaries and instead unveiling an ambitious growth strategy for the continent, citing improving economic fundamentals in Nigeria and the region’s unmatched long-term demographic potential.

The UK-listed consumer goods giant, which in April 2024 launched a strategic review that included exploring a full sale of its Africa operations, said on Thursday that retaining and expanding the business now offers the greatest shareholder value.

The board highlighted Nigeria’s stabilising currency, double-digit revenue growth in the first half of the current financial year, and Africa’s projected addition of over 900 million people in the next 25 years – more than half of global population growth – as key factors behind the U-turn.

“The Group is now setting out plans to build a winning portfolio of locally-loved brands,” PZ Cussons stated, outlining a three-pillar strategy: strengthening its core hygiene and personal care business in Nigeria, Ghana and Kenya through sharper distribution and digital execution; expanding into adjacent categories such as men’s grooming and beauty under brands like Imperial Leather, Venus and Premier; and accelerating pan-African growth from its existing manufacturing and route-to-market hubs in Nigeria and Kenya.

The company emphasised its competitive edge in a market where several multinationals have exited in recent years, noting that nearly 80% of its Nigeria revenue comes from brands holding number-one or number-two positions in their categories.

The decision follows a remarkable financial rebound at PZ Cussons Nigeria Plc, its Lagos-listed subsidiary. In the first quarter ended 31 August, the company posted a net profit of N13.49 billion – reversing a N4.65 billion loss in the same period last year and exceeding the N10.06 billion earned for the entire 2025 financial year.

The turnaround was powered by a N3.57 billion foreign exchange gain (versus a N9.28 billion loss previously) and a 48% surge in revenue to N59.01 billion, demonstrating the dramatic impact of naira stability on importers.

Earlier this year, PZ Cussons completed the only disposal from its African review, selling its 50% stake in non-core edible oils joint venture PZ Wilmar to partner Wilmar International for $70 million. With the wider portfolio now firmly off the market, the group is signalling full commitment to Nigeria and Africa as core growth engines alongside its developed-market operations in the UK and Australia/New Zealand.