Firm Plans 2M Euro Investment in Nigeria

[Richard Akindele]

German company Festo AG intends to build a plant in Nigeria, with an estimated cost of €2 million, to assemble cylinder valves and other related accessories.

Company director Peter Sengpiel told OhmyNews in Abuja the plant would be built in Lagos between 2007 and 2008.

"The plant is also expected to manufacture valves, fittings, sensors and pressure switches, pneumatic control technology and others,� said Sengpeil. He added that the company also plans to make Nigeria its operational base to service clients in the West Africa sub-region.

"We are looking forward to erecting our own building and workshop as is the case in other countries where our company is operating," said Sengpeil.

He explained that the company resolved to set up a plant workshop in Nigeria due to the complex procedure involved in manufacturing the cylinder valves.

Sengpiel said the company builds similar plants in South Africa, where it had been posting an impressive turnover of about €25 million annually.

The Festo AG managing director said the company was targeting Nigerian's huge market potential and that it was hoping to do business with about 200 companies spread across the Nigeria economy.
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