Nigeria: A.G. Leventis Offers to Buy Out Minority Shareholders, to Delist From NSE

25 September 2019

AG.Leventis (Nigeria)Plc yesterday said, Boval S.A acting on behalf of itself, Leventis Holding S.A, and Leventis Overseas Limited, which are core shareholders of the company, has planned to acquire the shares held by other shareholders.

In a notification to the Nigerian Stock Exchange (NSE) A.G Leventis said Boval S.A had approached the Board of Directors of the company with an intention to acquire the shares held by other shareholders at an offer price of 53 kobo per share, and subsequently delist the company from the NSE.

The offer price of 53 kobo represents a premium of 85 per cent to the 60-day volume weighted average share price and 104 per cent to the company's closing share price on 23 September2019.

According to the company, the proposed transaction would be implemented under a Scheme of Arrangement in line with section 539 of the Companies and Allied MattersAct,CapC.20 Laws of the Federation of Nigeria, 2004.

"The proposed transaction is still subject to the review and clearance of the NSE and the Securities and Exchange Commission (SEC) as well as the approval of the shareholders of the company. The terms and conditions of the proposed transaction will be provided in the Scheme Document which will be dispatched to all shareholders following the receipt of the "no-objection" of the regulators and an order from the Federal High Court to convene a Court-Ordered Meeting.

"Further developments will be communicated to shareholders in due course. A.G Leventis shareholders are advised to exercise caution in dealing in AGL's shares until further information is provided," the company said.

A.G Leventis had recovered from a loss of N3.476 billion in 2017 to a profit of N876 million in 2018. The company is, however, heading for another loss this year going by the results for the six months ended June 2019. A G Leventis posted a revenue of N3.96 billion in 2019, down from N6.918 billion in 2018, while it recorded a loss of N282.292 million compared with a loss of N545.904 million in the corresponding period of 2018.

Meanwhile, trading at the stock market remained bearish as the NSE All-Share Index fell 1.1 per cent to close at 27,352.24, while market capitalisation shed N138.2 billion to close at N13.3 trillion.

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