Tanzanian businessman Edhah Abdallah Munif’s Edha Nahdi cement strategy in Kenya is beginning to show early financial rewards after East African Portland Cement and Bamburi Cement posted sharply improved results.
East African Portland Cement reported profit after tax of Sh5.53 billion for the year ended June 2025, up from Sh1.16 billion a year earlier. Revenue more than doubled to Sh7.08 billion, helped by stronger cement production, pricing discipline and recovering demand. Independent market reporting also shows EAPC’s revenue rose 116% while its asset base increased after revaluation of leasehold properties.
Bamburi Cement also swung back to profit after its acquisition by Amsons Group, reporting net profit of Sh3.08 billion for the year ended December 2025, compared with a loss of Sh905 million a year earlier. The turnaround came after stronger sales execution, pricing discipline and savings from disposing of unproductive assets.
Together, the results suggest that Munif’s move into Kenya’s cement industry is no longer just a bold acquisition story. It is now becoming a test case in whether regional industrial capital can revive legacy manufacturing assets, extract value from underpriced balance sheets and reshape competition in one of East Africa’s most important construction markets.
Edha Nahdi Cement Strategy Gains From EAPC Recovery
East African Portland Cement’s recovery is the clearest early sign that the investment thesis is gaining traction.
The company’s net profit rose nearly five-fold to Sh5.53 billion, while turnover climbed to Sh7.08 billion from Sh3.28 billion. Clinker production increased 121% year on year and cement production rose 96%, according to the source figures.
EAPC also declared a dividend of Sh1.25 per share, up from Sh1.00 the previous year. Kalahari Cement Limited, Munif’s investment vehicle, is set to receive about Sh77.3 million from the total Sh112.5 million payout.
However, investors should read the profit jump carefully. Market commentary noted that a large portion of EAPC’s reported profit was boosted by fair-value gains on leasehold properties, meaning the operating recovery and the accounting uplift should be analysed separately.
Background: Why This Story Matters
Kenya’s cement industry is closely tied to construction, infrastructure spending, housing demand and regional trade.
For years, EAPC was viewed as a legacy industrial company with valuable assets but operational weaknesses. Bamburi, by contrast, has long been one of Kenya’s strongest cement brands, though it also faced pressure from competition, costs and market shifts.
Munif’s entry changed the ownership structure of both firms. Amsons acquired Bamburi in a Sh23.6 billion deal, while Kalahari Cement built a 68.7% stake in EAPC after buying shares from Holcim-linked entities and the National Social Security Fund. Business Daily reported that Munif spent Sh2.32 billion to take the majority EAPC position.
That combination gave Amsons-linked entities influence over two major cement assets in Kenya, raising both investor interest and regulatory concern.
Key Details From the Development
EAPC profit rises sharply
EAPC’s profit after tax rose to Sh5.53 billion in the year ended June 2025. Revenue increased to Sh7.08 billion, while production volumes improved strongly.
The company’s total assets also rose 43% to Sh50.3 billion, supported by revaluation of land holdings.
Bamburi returns to profitability
Bamburi reported net profit of Sh3.08 billion for the year ended December 2025, reversing a Sh905 million loss a year earlier.
Revenue rose 13.6% to Sh24.9 billion, supported by stronger execution in retail and key accounts, pricing discipline and cost savings.
Kalahari’s EAPC stake gains value
Kalahari paid about Sh2.32 billion for its majority EAPC stake. At the source’s stated market price of Sh84 per share, that holding was valued at about Sh5.19 billion, more than double the acquisition cost.
Acquisitions drew scrutiny
The transactions attracted concern from lawmakers and competition regulators because of the discounted sale prices and cross-ownership between rival cement companies.
The Competition Authority of Kenya examined the ownership structure because of possible concerns over strategic information sharing between competitors under common influence.
Impact on Investors, Businesses and the Economy
For investors, the early numbers show why Munif’s cement acquisitions attracted attention. The assets were bought at prices that appear low compared with book value and replacement value, while earnings have improved quickly.
For Kenya’s construction sector, stronger EAPC and Bamburi operations could support supply stability, especially if production efficiencies continue.
For competitors, the ownership structure creates a more powerful regional industrial player with interests across cement, fuel, logistics and warehousing.
For regulators, the case remains sensitive. Kenya needs investment in manufacturing, but competition authorities must also ensure that common ownership does not weaken rivalry or distort pricing in a sector central to housing and infrastructure.
Market and Industry Context
Kenya’s cement market is competitive but strategically important. Demand is supported by roads, housing, commercial real estate, industrial projects and regional infrastructure.
At the same time, the sector faces pressure from energy costs, clinker supply, pricing competition and foreign-exchange exposure.
Amsons’ wider regional footprint matters because cement is not only a factory business. It depends on logistics, energy access, raw materials and distribution networks. Munif’s broader interests in fuel, warehousing and freight could support operational synergies if executed properly.
The group’s regional exposure also gives it a platform for expansion beyond Kenya, including Tanzania, Mozambique, Zambia and potentially Uganda.
What Comes Next
The next phase will depend on whether the financial recovery becomes sustainable.
Investors should watch:
EAPC’s operating profit quality
The market will need to separate recurring operating gains from asset revaluation effects.
Bamburi’s dividend policy
Bamburi returned to profit but did not declare a dividend, suggesting management may prioritise reinvestment or balance-sheet strengthening.
Regulatory decisions
Competition oversight remains important because of Amsons-linked influence across two large cement companies.
Production and pricing trends
Improved production is positive, but long-term value will depend on demand, margins and market discipline.
Expert Analysis
Munif’s cement strategy appears to have been built around three ideas: acquire undervalued assets, improve operations and position for long-term construction demand.
So far, the early numbers support that thesis. EAPC has posted a sharp recovery, Bamburi has returned to profitability and Kalahari’s EAPC stake has risen materially in market value.
But the story is not risk-free. EAPC’s profit includes a significant non-cash element linked to asset revaluation. Bamburi’s turnaround is encouraging, but investors will need more than one year of profitability to judge the durability of the recovery.
The competition issue is also important. A stronger industrial investor can bring capital and discipline. But common influence over major cement assets requires careful regulatory monitoring to protect consumers, contractors and smaller competitors.
Frequently Asked Questions
What is the main issue?
The main issue is that Edhah Abdallah Munif’s Amsons-linked cement investments in Kenya are showing early gains after EAPC and Bamburi Cement posted stronger results.
Why did EAPC’s profit rise?
EAPC’s profit rose because of stronger production, improved pricing and demand recovery, with asset revaluation also contributing significantly to reported earnings.
How much did EAPC make?
EAPC reported profit after tax of Sh5.53 billion for the year ended June 2025.
How did Bamburi perform?
Bamburi returned to profit, reporting Sh3.08 billion for the year ended December 2025 after posting a loss the previous year.
Why were the acquisitions controversial?
They raised questions over discounted sale prices, foreign ownership of strategic assets and cross-ownership between rival cement companies.
What should investors watch next?
Investors should watch operating cash flows, dividends, production growth, regulatory developments and whether profit gains are sustainable.
Conclusion
Edhah Abdallah Munif’s Kenya cement acquisitions are beginning to deliver visible financial gains. EAPC’s five-fold profit jump and Bamburi’s return to profitability show that the assets have significant recovery potential under new ownership.
The bigger question is whether the gains can be sustained beyond the first turnaround phase. Strong production, disciplined pricing and efficient capital deployment could make Amsons a major force in East Africa’s cement market.
But regulators and investors will keep watching closely. In a sector tied directly to infrastructure, housing and construction costs, the balance between industrial revival and fair competition will define the next chapter of Kenya’s cement market.
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