China Wu Yi acquires Sh530m Kilifi land

MR QIU LIANGXIN (LEFT) THE MANAGING DIRECTOR CHINA WU YI WITH MOMBASA DEPUTY GOVERNOR HAZEL KATANA (CENTER) TOGETHER WITH MR YANG YUE, THE PRESIDENT OF FU ZHOU CITY IN CHINA IN THIS PICTURE TAKEN ON MARCH 14, 2016.  

By VICTOR JUMA

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Summary

• The planned investment in the property was not immediately clear but sources indicate the company could be planning to produce iron and steel at the site.
• Acquisition of the land comes soon after China Wu Yi started the construction of a Sh10 billion housing materials plant in Athi River, with the local investments coming after the multinational bagged major private and public sector construction tenders.

Chinese conglomerate China Wu Yi is set to buy a 20-acre land in Kilifi County at a cost of Sh530 million, signalling the company’s intention to expand its manufacture of construction materials locally.

The multinational, in a statement, said it had authorised its local subsidiary China Wu Yi Kenya Park Investment & Development Co to purchase the land.

The planned investment in the property was not immediately clear but sources indicate the company could be planning to produce iron and steel at the site.

Acquisition of the land comes soon after China Wu Yi started the construction of a Sh10 billion housing materials plant in Athi River, with the local investments coming after the multinational bagged major private and public sector construction tenders.

The Athi River plant is expected to be completed this year, producing pre-cast construction materials that will also be sold to other construction firms. The multinational is putting up the plant through its locally incorporated subsidiary China Wu Yi Precast (Kenya) Company Limited.

READ: Ownership of China Wu Yi’s Kenya arm thrown into doubt

The project, on 30 acres land off Mombasa Road, will include a pre-cast elements plant, a display area, warehouse and a construction material supermarket which will introduce construction materials from China effectively making it a one-stop shop for construction materials in the country.

The supermarket will stock stones, ceramic tiles, bathroom appliances, construction electrical, lamps, and kitchen furniture among others.