29 October 2009
Abuja — Technical Committee of the National Council on Privatization (NCP) at its meeting held yesterday ratified Skyway Aviation Handling Company Limited as the core investor in Skypower Aviation Handling Company Limited (SAHCOL) following the payment of the balance of N3, 865,470 representing 70% of its bid in the company.
This was disclosed by the Bureau of Public Enterprises yesterday. Skyway had on the 30th of September, 2009 paid N1, 656,630,000, which represented 30% of its N5, 522,100 and had until October 29th 2009 to complete the payment.
NCP had approved that SAHCOL be offered to the four remaining bidders on the basis of 'willing-buyer, willing-seller', following the failure of both the preferred bidder, Eraskorp Consortium and the reserve bidder, Pan Express Services, to make payment at the deadline as stipulated in the terms of sale made to them.
The four bidders were; Skyway Aviation Handling Company; TAK Continental Limited; Moore Associates Limited; and Aviation Handling Partners Limited.
The bidders were invited to re-validate their earlier bids or make a fresh bid based on the new reserve price of N5.522 billion.
BPE said following an all-party meeting with the four prospective bidders on 29th September 2009, the following bids were submitted as follows: Skyway Aviation Handling Company, N5.5221 billion, TAK Continental Limited, N5.5230 billion, Moore Associates Limited; and N5.5230 billion, Aviation Handling Partners Limited, N5.5220 billion.
The Chairman of the occasion, Mr. Babington Ashaye, told the bidders that "whoever pays first will be the winner and the preferred bidder," adding that the total acceptable amount for the enterprise must be fully paid within 30 days from the date of offer. However, 30% of the bid amount must be paid within 15 days of the offer.
Skyway Aviation Handling Company Limited was the first of the four bidders to make the 30% initial deposit as stipulated in the terms of sale and made the final payment today (29th October 2009), which falls within the stipulated 30 days.
Eraskorp Consortium emerged the preferred bidder while Pan Express Services Limited emerged the reserve bidder at the opening of financial bids submitted by six pre-qualified prospective core investors for 100% government's equity in Skypower Aviation Handling Company (SAHCOL). The event took place on June 30, 2009 at Transcorp Hilton Hotel. Both companies have since failed to meet the payment deadline.
The Federal Government is divesting 100% of its controlling shares with the intention that after a few years from take-over, 49% interest will be divested to the Nigerian public under the supervision of BPE at a time that will be mutually agreed upon in the Share Sales Purchase Agreement (SSPA).
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