KHL Group - International Construction

Bilfinger Berger edges out of Nigeria

Written by Chris Sleight - 06 Feb 2012

Bilfinger Berger has sold a 10% stake in its Nigerian subsidiary Julius Berger Nigeria (JBN) to local enginerring and construction company Nestoil. This reduces the German company's ownership of JBN from 49.9% to 39.9%, and will see it realise net proceeds of € 20 billion (US$ 26 million). Bilfinger Berger says it plans to gradually reduce its ownership of JBN further.

Roland Kock, chairman of Bilfinger Berger's Executive Board said, "With the Nestoil Group we have found a reputable buyer that is seeking to enter into a long-term investment and cooperate with JBN at an operational level. We are happy that we have been able to put this equity stake in good hands."

In addition to selling its interest in JBN, which is quoted on the Lagos Stock exchange, Bilfinger Berger has taken the strategic decision to reduce its other Nigerian activities. To this end, it says it also intends to sell the engineering and services activities of Bilfinger Berger Nigeria to JBN.