The Nigerian Stock Exchange (NSE) yesterday, placed the share price of United Bank for Africa Plc on technical suspension for three trading days, as statutorily required pursuant to the bank's restructuring as approved by shareholders on December 13, 2012.
The suspension is a usual procedure on the NSE for companies undergoing a restructuring process.
A statement from the bank indicated that the technical suspension is to enable the bank to close the register of members to determine those to benefit from the shares of the new companies (UBA Capital Plc, Africa Prudential Registrars Plc and Afriland Properties Plc) to be spun-off from the Group to existing shareholders.
UBA shareholders at a court-ordered-meeting held on December 13, 2012, approved a new structure for the Group including the spin-off of the Group's non-commercial banking businesses to existing shareholders in line with the new Central Bank of Nigeria (CBN)'s banking model.
Under the new structure, the Group's non-commercial banking subsidiaries with the exception of Africa Prudential Registrars Plc and Afriland Properties Plc would be consolidated under UBA Capital Plc and spun-off to existing shareholders. Shareholders shall also hold direct interests in Africa Prudential Registrars Plc and Afriland Properties Plc to be spun-off from the Group.
Every shareholder whose name appeared on the register as at December 31, 2013, would receive four shares in UBA Capital Plc, one share in Africa Prudential Registrars Plc and one share in Afriland Properties Plc for every 33 shares held in United Bank for Africa Plc.