British-based consumer goods company PZ Cussons Plc has announced the proposed sale of its Nutricima Nigeria dairy business.
In a statement, the company said it has exchanged contracts for the sale of the assets associated with Nutricima’s business to FrieslandCampina WAMCO Nigeria Plc, an affiliate of Royal FrieslandCampina in the Netherlands. Under Nigerian law, completion of the transaction is subject to merger clearance in Nigeria, the statement read.
Milk producers in the country have said that foreign exchange restriction on milk imports would ultimately lead to higher prices of milk products for consumers.
“Of course, it will definitely affect prices. There is a difference of about N55 or N60 per dollar between the exchange rate on the black market and the interbank market,” said the General Manager, External Affairs, PZ Cussons, Mohammed Tahir at a dairy Congress in July.
Consumer Goods Company PZ Cussons Nigeria Plc continues to feel the impact of a lingering recession with low patronage of its goods due to subdued consumer disposable income.
The company reported a 40% decline in profits for the nine months to the end of February, blamed on weak consumer demand, which saw sales fall by 13% to N55bn from N63bn in the previous year. The company said that profits fell to N807m from N1.3bn in the same period in 2018 despite the company’s best effort to manage costs.
PZ Cussons Plc, the British maker of a wide range of consumer goods and parent company of PZ Cussons Nigeria Plc, issued a profit warning on Thursday ahead of the release of its half-year results in January for period ending 30th November, 2018.
PZ Cussons Nigeria Plc, on Friday announced a net loss of ₦208 million for the first quarter of 2018/19 financial year ending on 31 August.
The consumer goods company which has a diverse product line that includes electricals, personal and homecare products, dairy brands under the Nutricima business line and others said that the loss came as a result of low patronage of its products due to subdued consumer disposable income. Net revenue fell by 14.3% to ₦15.9bn from ₦18.5bn in the same period in 2017.
Nutricima, the Food and Nutrition unit of PZ Cussons Nigeria Plc has launched Nunu Special Smart-Growth Formulation that promises to deliver 30% Recommended dietary Allowance (RDA) nutrition needed for a child’s healthy living and growth.
The company said that the new pack design for Nunu, which was also unveiled at the launch of the Smart-growth Campaign, compliments the richness and quality nutrients Nunu has been known for over the years.
Nutricima Limited, the beverage unit of PZ Cussons Nigeria Plc has re-launched its premium nutritional milk, Olympic, as part of its effort to get Nigerians to take on a more active lifestyle.
As part of the re-launch, the brand will unveil its new look in the coming months in addition to a new nutrition proposition, ‘Active for Longer’ while still retaining its promise of quality nutrition and low cholesterol content.
PZ Cussons Nigeria Plc said on Wednesday that net profit for the full year ending 31 May 2016 fell 53.4% to N2.1bn, down from N4.6bn in the previous year.
The company said it took an exceptional charge related to the 40% devaluation of the Naira on June 20th when the Central Bank of Nigeria moved to a flexible exchange rate system. It meant that long outstanding trade payables it had which were denominated in US dollars had to be reevaluated at a higher exchange rate causing the decline in profit.
Nothing can be more fun and exciting than watching young children play creatively with peers and even work together as a team to accomplish productive tasks, this feeling was what Nutricima brought to both parents and kids alike at the re-launch of its premium nutritional milk, Nunu.
PZ Cussons Plc, makers of Nunu, Olympic and Yo brands announced that it has acquired the remaining 50 percent stake held by Glanbia in the Nutricima joint venture between both companies.
It paid £21 million in cash, giving PZ Cussons complete ownership of Nutricima. PZ Cussons has also entered into a new long-term agreement with Glanbia Ingredients Ireland for the supply of milk-based products to Nutricima.
