After 140 years of operation, PZ Cussons, a multinational giant, is set to exit Africa’s business landscape, citing economic challenges, particularly in Nigeria.
In a statement issued on Wednesday, April 24, the company announced its strategic review of African operations, attributing the decision partly to the significant decline in sales in Nigeria, which plummeted by 48% due to naira devaluation and inflation.
Jonathan Myers, the CEO of PZ Cussons, emphasized the importance of charting a future path while honoring the company’s legacy, hinting that the review could result in ownership changes.
Myers said, “The macro-economic challenges and complexities associated with operating in Nigeria are significant, and there is much more to do to unlock the full potential of the business. As such, we have undertaken a strategic review of our brands and geographies and have embarked on plans to transform our portfolio, refocusing on where the business can be most competitive.”
Myers further highlighted the group’s complexity relative to its size, noting that financial and human resources are spread thinly, hindering returns.
Despite receiving numerous offers over the years, Myers clarified that the company has not yet expressed interest in divesting its shares in the African consumer goods firm.
