About 5-years ago, when Africa’s richest man, Aliko Dangote, decided to expand his business empire by adding a car assembly facility to his portfolio, many Nigerians were ecstatic because it was deemed to be a move that would to help the country’s economic growth and development while also reducing people’s reliance on imported goods and services. ayokinews.com reports
In partnership with the states of Kaduna and Kebbi and the Bank of Industry (BOI), Dangote sought for a majority share in Peugeot Automobiles of Nigeria (PAN).
The company was already in receivership with Asset Management Corporation of Nigeria (AMCON), and the asset recovery agency was looking for investors to buy some of the company’s assets after a series of setbacks that had nearly destroyed it. In 2006, the federal government sold the company’s controlling ownership to local core investors who were struggling to keep it viable.
In 2012, AMCON took over the company’s debt and acquired a controlling stake in it. However, AMCON found it difficult to keep the ship afloat. PAN was in desperate need of a new lease on life, and when Dangote expressed interest and made a bid for it, everyone breathed a sigh of relief.
Unfortunately, such business strategy was doomed from the start as Dangote swiftly changed his mind after realizing that investing in PAN would be a major risk he wasn’t willing to take. He reconsidered his decision and formed a joint venture deal with Peugeot of France a year later (PSA Groupe).
Dangote Peugeot Automobiles Nigeria Limited (DPAN), the new company, has since begun operations after a successful overhaul of PAN.
Ayoki News has now learned that DPAN just issued its first set of constructed saloon automobiles, which is roughly 25 kilometers distant from the current location of the defunct PAN Limited assembly factory in Kaduna State.
According to a source, the new set of manufactured vehicles is unfortunately not for commercial use as the business magnate intends to make them available for purchase by the (1st) first quarter of 2022.