South Africa’s PPC is seeking buyers for its stake in the Rwandan cement factory CIMERWA, stirring the government’s interest to acquire the shares, according to reports.

"PPC is selling its 51 percent stake in CIMERWA and the government will discuss if it is able to buy the stake,” Rwanda Development Board CEO, Clare Akamanzi told a news agency.

"PPC is looking for buyers,” she noted.

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This comes after CIMERWA announced payment of Rwf10.5 billion in dividends to shareholders, following a record Rwf92.1 billion in total revenues in 2022, a 37 per cent increase from Rwf67.4 billion in 2021.

This will be the first dividend payment since the cement manufacturer floated 100 per cent of its shares on Rwanda Stock Exchange (RSE) in 2020.

Of the enlisted 703,219,520 shares on the stocks market, the government is the second largest shareholder.

PPC has also been considering offers for its Zimbabwean business, although it has yet to agree on pricing with potential buyers, Bloomberg reported previously. A sale of its stake in CIMERWA would leave the continent’s top cement maker with more time to focus on its core operations in South Africa and further pay down debt.

"PPC actively manages its business portfolio in Botswana, DRC, Rwanda, South Africa and Zimbabwe,” the company responded once asked for a comment, "If and when appropriate PPC will communicate changes to its portfolio in line with applicable regulations.”

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The Johannesburg-based cement maker, founded in 1892, refinanced its short and long-term facilities with South African lenders and sold PPC Aggregate Quarries Botswana and PPC Lime., which assisted in de-gearing its South Africa balance sheet to acceptable levels, the company said in its annual report.

Asked to comment on the development, the CEO of Rwanda Stock Exchange, Pierre-Célestin Rwabukumba, could not confirm it.

Established in 1984, CIMERWA has a production plant based in Bugarama, Rusizi district, with 80 percent of production serving the domestic market while 20 percent is exported.