CMGP Group, a prominent Moroccan entity, has announced a significant strategic move with the signing of an agreement to acquire a 92.5% stake in Compagnie de Produits Chimiques du Maroc (CPCM). This landmark transaction, valued at approximately MAD 1 billion (equivalent to $98 million), involves the acquisition from CPCM's historical shareholders, ABC Holding and Khalid Lahlou. CMGP Group has also indicated a potential future intent to increase its ownership to a full 100% of the company.

This acquisition marks a pivotal expansion for CMGP, extending its operational footprint across crucial sectors including crop protection, water treatment, and industrial chemicals. The move is explicitly aligned with CMGP's overarching long-term strategy to cultivate a broadly diversified agribusiness platform, thereby strengthening its market position and service offerings.

The financial projections underscore the substantial impact of this deal. CPCM is anticipated to generate MAD 500 million in revenue during 2025. This, in turn, is expected to elevate CMGP’s consolidated turnover to nearly MAD 3 billion, before accounting for any synergistic benefits. This acquisition represents CMGP’s third major strategic purchase in recent years, following its successful integration of CAS in 2021 and Agrosem in 2024, demonstrating a consistent growth trajectory through M&A.

The transaction is currently pending approval from the Competition Council, a standard regulatory step. Upon completion, the acquisition is expected to unlock considerable industrial and export synergies. It is poised to reinforce CMGP’s strategy of vertical integration, adeptly combining irrigation, fertilizer, and chemical production capabilities. This integrated approach aims to bolster supply resilience and significantly expand export opportunities across the African continent.

Given that agriculture contributes roughly 14% to Morocco’s GDP, CMGP’s diversified business model places it as a critical facilitator of the country’s agricultural modernization and sustainability agenda. CEO Youssef Moamah articulated the company's broader vision, stating that the acquisition builds on CMGP's ambition to serve "agriculture and beyond," signaling a strategic pivot towards wider industrial capabilities such as advanced water management and sophisticated chemical processing.

Furthermore, this strategic consolidation is expected to enhance CMGP’s competitiveness within regional markets, directly supporting Morocco’s broader industrial policy objectives. These national goals include the development of value-added agricultural exports and the expansion of local manufacturing capacity, positioning CMGP as a key player in the nation's economic development.