December 31, 2015
Dangote Saves 3,000 Nigerian Jobs After Buying Back Former Subsidiary
Africa’s richest man is making good his promise to help Nigerian government in its efforts to sustain development and relief the burden on the suffering masses as it makes another milestone.
Dangote Industries Limited (DIL) has explained why it bought back its former subsidiary, Tiger Branded Consumer Goods (TBCG). It said its action is to prevent the company from dying and also save the job of over 3,000 Nigerians, reports The Nation.
According to the report, DIL was approached by Tiger Brands to acquire its 65.7 per cent shares of TBCG Limited. While some stakeholders have questioned the rationale behind the investment decision by DIL, sources close to the Dangote Group said the company had to consider the repurchase of TBCG so as to keep the company as a going concern, which preserves value for the minority retail shareholders. The move also secured direct employment for over 3,000 employees.
“Going by every indication, the future of the company was very doubtful and that was risky for the employees, which are over 3,000 Nigerians apart from others who benefit from the company’s services through other ancillary services. The return of DIL is therefore, a big relief and good decision to save the jobs of the staff of TBCG,” a market operator, who declined to be named, said