UAC of Nigeria Plc has agreed to sell its 73.29 per cent controlling stake in Livestock Feeds Plc to Sunbeth Treenuts and Sesame Limited for N19.5 billion in an all-cash transaction.
The transaction, disclosed in a corporate statement signed by Ayomipo Wey, Company Secretary and Group General Counsel of UAC, values the Livestock Feeds shares at N8.85 each.
The deal remains subject to the required regulatory approvals.
The transaction will mark UAC’s exit from Livestock Feeds, a business it has controlled since acquiring a controlling interest in 2013, while giving Sunbeth an opportunity to expand its presence in Nigeria’s agro-processing and agricultural value chains.
Commenting on the transaction, UAC Group Managing Director, Fola Aiyesimoju, said the company had worked with Livestock Feeds’ management to drive significant growth and expansion during its ownership.
“UAC has worked with the Company’s management to drive significant growth and expansion with revenues increasing 5x and profitability increasing 18x,” he said.
Aiyesimoju added that Sunbeth was well positioned to support the next phase of Livestock Feeds’ growth.
“Following the Transaction, Sunbeth is keen to continue to work with Livestock Feeds’ management and employees to drive the next phase of the Company’s expansion, leveraging its rich heritage in the Nigerian agro-allied sector,” he said.
Jeroen de Ruijter, Chief Financial Officer of Sunbeth Agro HoldCo, said the acquisition represented an important step in the company’s strategy to build an integrated African agribusiness platform.
He said Sunbeth had developed capabilities across agricultural supply chains and built relationships with producers, customers and global partners.
According to him, the next phase of the company’s growth would focus on combining those capabilities with processing and manufacturing operations closer to the markets it serves.
De Ruijter described Livestock Feeds as a business with an established heritage, brands and experienced workforce, as well as an important position in Nigeria’s agricultural economy.
He said Sunbeth saw opportunities to build on those foundations, adding that its immediate priority after completion would be to work with Livestock Feeds’ management and employees to strengthen operations, improve supply-chain efficiency and support further growth.
He said the acquisition also reflected Sunbeth’s long-term commitment to Nigeria’s agricultural sector and its ambition to invest in businesses that can strengthen African food systems and create value locally.
UAC acquired a controlling interest in Livestock Feeds in 2013.
The animal feed company, originally established by Pfizer in 1963, has since expanded its operations and recorded significant growth in revenue and profitability.
The divestment will allow UAC to monetise its investment in the business after more than a decade of ownership.
For Sunbeth, the acquisition aligns with its strategy to expand beyond agricultural sourcing, warehousing and commodity trading into a broader agro-industrial platform.
The transaction could also combine Sunbeth’s agricultural sourcing network with Livestock Feeds’ manufacturing operations, potentially strengthening supply-chain integration and market reach.
Banwo & Ighodalo acted as legal adviser to UAC.
On the buy side, FigPartners Africa and CardinalStone Partners served as financial advisers to Sunbeth, while Olaniwun Ajayi LP acted as legal adviser.
Completion of the transaction is subject to obtaining the required regulatory approvals.
The proposed sale represents another significant portfolio move by UAC as the conglomerate continues to reshape its investments and capital allocation strategy.
The announcement follows UAC’s consolidation earlier in 2026 of its acquisition special purpose vehicle, UAC Food and Beverage Company Limited, into C.H.I. Limited after completing the acquisition of the beverage business.
UAC said the consolidation was part of efforts to simplify its corporate structure following the completion of the acquisition.
-nairametrics