7-Up Plans Delisting, Offers N19.332bn To Buy Out Minority Shareholders

7-Up Plans Delisting, Offers N19.332bn To Buy Out Minority Shareholders

Post Views: 6 Preparatory to eventually delisting its shares from the Nigerian Stock Exchange (NSE), like Nigerian Bottling Company, the board of c ma...

Preparatory to eventually delisting its shares from the Nigerian Stock Exchange (NSE), like Nigerian Bottling Company, the board of c makers of Pepsi Cola and Mirinda, among others, on Thursday offered to buy-out minority shareholders in a deal expected to gulp N19.332bn.
In a notice to the NSE titled: “announcement of proposed acquisition,” signed by Samuel Uboh of Equity Services Limited, the company secretary, SBC said its board has received an offer from Affelka S.A., its majority shareholder, “to acquire all the outstanding and issued shares of SBC that are not currently owned by Affelka.”
The statement expects that the transaction entails Affelka offering N112.70 per unit for the 171,542,574 ordinary shares of 50 kobo each via a Scheme of Arrangement.
The offer, it continued, is pursuant to Section 539 of the Companies & Allied Matters Act Cap. C20 Laws of the Federation of Nigeria 2004 and other applicable rules and regulations.
The offer covers 26.78% of the company’s issued share capital at 15% premium on the last traded share price on August 9, 2017, “being the last business day prior to the date the proposal was received from Affelka and 21.8% premium on the trading price as at close of trading on November 28, 2017.
While urging shareholders to exercise caution when dealing in its shares until further notice, SBC said the deal has received the nod of the Securities & Exchange Commission (SEC), subject to approval of shareholders at a court-ordered meeting and the sanction of the Federal High Court.
Hint of the delisting is coming six years and almost two months after NBC delisted from the exchange on September 7, 2011, after Coca-Cola Hellenic (CCH) with 66.4% control offered a buy-out of the minority shareholders.
SBC was listed exactly 31 years ago on Monday, December 1, 1986.