Julius Berger Nigeria Plc has formally stepped back from its foray into agro-processing, approving the lease of its cashew nut processing facilities to Eko Organic Food Industries Limited. The move, endorsed at the company’s board meeting of September 24, 2025, signals a renewed focus by the engineering giant on its construction core.
The company had first announced in 2020 its intention to diversify into agro-processing, leading to the establishment of cashew facilities aimed at expanding its revenue base beyond civil engineering and infrastructure projects.
Explaining the decision, the Board said leasing the facilities aligns with Julius Berger’s broader strategy of concentrating resources on strengthening its competitiveness in construction while still extracting value from ancillary ventures. By ceding operational control to Eko Organic Food, a company with core expertise in agro-processing, Julius Berger ensures continuity of the cashew business while streamlining its focus.
“The goal of the Board of Directors and Executive Management remains to deliver on the strategy of maintaining and strengthening the Company’s competitive advantages in the construction sector, and any other sector it ventures into,” the company said in its corporate disclosure filed to the Nigerian Exchange (NGX).
Commenting on the development, Aruna Kebira, CEO of Globalview Capital Ltd., described the move as a pragmatic retreat.
“Agro-processing was an ambitious diversification, but with rising infrastructure projects in transport, housing, and energy, Julius Berger’s competitive advantage clearly lies in construction. Offloading the cashew operations allows them to double down on what they do best,” he said.
For Eko Organic Food Industries, the lease represents a major win. With an established facility now under its control, the company is positioned to deepen its footprint in the cashew value chain, a segment with significant export potential for agro-SMEs.
Julius Berger emphasized that the move does not signal a withdrawal from exploring new ventures but rather a disciplined recalibration of its strategy. The Board reiterated its commitment to scanning Nigerian and regional markets for opportunities that complement its core operations without diluting focus.
