Nigeria: Ardova PLC Moves to Acquire Enyo Retail and Supply Limited

14 January 2021

Shares in Ardova Plc (AP) rose to N20 per share yesterday as the company disclosed that it had entered into discussions with the shareholders of Enyo Retail and Supply Limited relating to AP acquiring Enyo.

The Nigerian integrated energy company explained that Enyo is one of the newest and fastest growing retail and supply companies in the downstream sector.

Enyo is a technologically driven player and currently operates over 90 stations across Nigeria attending to over 100,000 retail customers daily across 15 states of the country.

In notification to the Nigerian Stock Exchange (NSE) AP said the announcement was pursuant to the acceptance in principle of its offer and acquisition framework by the shareholders of Enyo, which is subject to the successful completion of a due diligence exercise and the receipt of all required regulatory approvals.

The Chief Executive Officer of AP, Mr. Olumide Adeosun, explained that immediately following completion, AP will look to retain the Enyo branded stations which will operate side by side with the AP brand whilst leveraging the strengths of AP and its group companies.

According to him, the parties are committed to concluding the deal by the end of first quarter (Q1) 2021, noting that AP and Enyo Retail & Supply Limited will provide further information on progress made on the proposed acquisition.

Enyo Retail and Supply Limited was established in 2017 as a customer-focused, technology driven fuels retailing company, intent on providing best-in-class retail experiences, whilst leveraging complimentary brands and optimising return to investors.

Enyo's primary focus is to integrate first level customer service experience with fuels retailing and renewable energy products in Africa. Enyo is pioneering the technology revolution in the downstream sector to see what additional value can be created to support the massive industry. Enyo is affiliated with Folawiyo Energy, one of the leading players in Nigeria's oil and gas industry.

Meanwhile, the stock market sustained its bullish performance with the NSE All-Share Index chalking up 0.11 per cent to close at 40,341.05, while market capitalisation added N23.6 billion to be at N21.1 trillion.

However, activity closed lower as the volume and value traded declined 59.9 pe cent and 12.6 per cent respectively to 468.1 shares and N7.0 billion. The most traded stocks by volume were Zenith Bank Plc (45.8 million shares), LASACO Assurance Plc (40.7 million shares).

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