Dangote sells noodles company to Dufil

Dangote Flour Mills has sold its noodles firm to Dufil Prima Foods, makers of Indomie noodles, the company announced on Tuesday.

According to the Group Managing Director of Dangote Flour Mills, Thabo Mabo, the decision to sell the noodles company was a strategic one influenced by the need to focus on core areas of flour and pasta production where the company has substantial market share.

In order to smoothen the transition process of ownership and operations, Dangote Flour Mills said that it has offered some of its facilities for use by Dufil on an interim basis.

Mabo also disclosed that as part of the terms of the sales agreement, Dufil Prima Foods will retain the brand name Dangote Noodles for a two-year period before changing the name.

Chief Executive Officer of Dufil Prima Foods, Deepak Singhal, said the acquisition of Dangote Noodles was strategic to their dominance of the noodles market as the company seeks to grow in that area.

He said that the new acquisition would help Dufil increase its market share and position it strategically in the marketplace.

He also noted that most of the staff members working in the Dangote Noodles company would be retained by Dufil Prima Foods.