830 Views

Nigerian Stock Exchange Delists Seven-Up Bottling Company Plc

The market capitalisation of Nigerian Stock Exchange (NSE) was reduced by N65.321 billion yesterday following the delisting of the shares of Seven-Up Bottling Company (SBC) Plc.

The shares of SBC were delisted by NSE six years after its main rival, Nigerian Bottling Company(NBC) Plc was delisted from the Nigerian bourse.

The NSE had last month approved the voluntary delisting of SBC after receiving a takeover bid from its majority shareholder, Affelka S.A aimed at restructuring the soft drinks bottler. The majority shareholder made the takeover proposal last August after the company posted losses.

Affelka held 73 per cent of the equity of SBC before it offered to completely buyout minority shares in SBC for a consideration of N112.70 per share.

While the company received a “no objection” from the Securities and Exchange Commission (SEC), the minority shareholders were expected to approve the proposal on January 11, 2018. However, few days before court-ordered meeting, Affelka raised the offer price for the acquisition of the outstanding 171,542,574 to N125. The new offer price represented a premium most of the shareholders could not resist.

Consequently, the Affelka had its way and bought out the minority shareholders. Under the scheme, shareholders were to be paid cash consideration of N125 per share as modified at the court ordered meeting.

ALSO READ  Five Ways Naira Flotation Will Affect Nigeria

According to the scheme “ share certificates representing the interest of the holders of the shares shall cease to be valid and that the scheme shares previously held in demutualised form shall be expunged from the respective record of the company’s shareholders maintained by the Central Securities Clearing System, CSCS. Also, upon the scheme becoming effective, the ordinary shares of the petitioner be delisted from the Daily Official List of the NSE ; or such incidental , consequential and /or supplementary orders as are necessary to ensure that the scheme be fully and effectively implemented.”

Investment analysts at Afrinvest West Africa, had advised minority the shareholders of SBC to accept the tender offer from Affelka.

According to Afrinvest, given the recent weak financial performance, historical illiquidity characterising SBC’s stock – which will possibly worsen post-acquisition – and the premium offered by Affelka relative to the current market price, they recommended investors tender their shares for the price consideration.

Meanwhile, the Nigerian bourse opened the week on a negative note as the NSE All Share Index (ASI) depreciated by 0.26 per cent to close at 43,056.51.

Get the best viral stories straight into your inbox!

Don't worry, we don't spam

Leave a Comment

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Latest Posts

Here Are The Foods To Never Eat On An Empty Stomach
Best of Nigeria
32 views
Best of Nigeria
32 views

Here Are The Foods To Never Eat On An Empty Stomach

MT - July 22, 2018

Rolling out of bed with very hungry makes us very hungry that we just eat anything that comes first in our sight. What you do not know…

This Man Lost His Wife and Son While Crossing Over The Mediterranean Sea To Europe
Shocking
34 views
Shocking
34 views

This Man Lost His Wife and Son While Crossing Over The Mediterranean Sea To Europe

MT - July 22, 2018

Forty-Three-Year-Old Ikechukwu Ndigwe, a native of Ezinwoye village of Adazi-Nnukwu in Anaocha Local Government Area of Anambra State, has been running from pillar to post, strenuously trying…

More Photos From #BBNaija’s Tobi and Alex #Tolex Homecoming In Ogun state
Entertainment
41 views
Entertainment
41 views

More Photos From #BBNaija’s Tobi and Alex #Tolex Homecoming In Ogun state

MT - July 22, 2018

BBNaija reality star Tobi Bakre was hosted yesterday to a grand homecoming reception at his hometown in Ago-Iwoye, Ogun State. Comedian, Oluwakaponeski and fellow BBNaija housemates, Alex…

Rainy Season: Top 7 Tips On Staying Safe During A Flood
How Tos
29 views
How Tos
29 views

Rainy Season: Top 7 Tips On Staying Safe During A Flood

MT - July 22, 2018

Here are a few tips on staying safe during a flood this rainy season: 1. Never walk through moving water. This is the first rule of caution,…

How Phone Call Caused This Terrible Multiple Accident in Front of Uyo Stadium (Photos)
Shocking
84 views
Shocking
84 views

How Phone Call Caused This Terrible Multiple Accident in Front of Uyo Stadium (Photos)

MT - July 21, 2018

A horrific multiple accident was said to have happened yesterday by 4pm just  in front of Godswill Akpabio International Stadium, Uyo, Akwa Ibom State capital.. According to…

Mikel Obi Has Not Seen Nor Spoken to Me in 5 Years – Father
Shocking
87 views
Shocking
87 views

Mikel Obi Has Not Seen Nor Spoken to Me in 5 Years – Father

MT - July 21, 2018

Mikel Obi's dad has made a shocking revelation about his relationship with his billionaire son, Mikel Obi and how public perception tend to suggest that he is…

Singer, Dollarboi Recounts His Heart-wrenching SARS Brutality Experience in Lagos (Photos)
Shocking
6 views
Shocking
6 views

Singer, Dollarboi Recounts His Heart-wrenching SARS Brutality Experience in Lagos (Photos)

MT - July 21, 2018

Fast-rising Nigerian singer, Dollarboi, has taken to his Instagram page @dollamachine, to narrate his harrowing experience in the hands of SARS operatives of the Nigerian Police Force…

Why Women Should Free Themselves From ‘The Other Room’ – Obasanjo
Nigerian Women
74 views
Nigerian Women
74 views

Why Women Should Free Themselves From ‘The Other Room’ – Obasanjo

MT - July 21, 2018

While spesking on the topic, ‘My understanding of women aspiration in business and politics’ at an event on Friday in Ibadan, Chief Olusegun Obasanjo, charged Nigerian women to fight…

SEE The Romantic Gift Billionaire Tonye Cole Surprised His Wife With For 23rd Wedding Anniversary [PHOTOS]
Religion
158 views
Religion
158 views

SEE The Romantic Gift Billionaire Tonye Cole Surprised His Wife With For 23rd Wedding Anniversary [PHOTOS]

MT - July 20, 2018

Nigerian billionaire entrepreneur, executive director and co-founder of Sahara Group, Tonye Cole has surprised his wife Sylvia Cole, with a brand new Mercedes SUV on their 23rd…

5 Advantages of Developing Your Own Property Over Buying Existing Ones
Best of Nigeria
99 views
Best of Nigeria
99 views

5 Advantages of Developing Your Own Property Over Buying Existing Ones

MT - July 20, 2018

Owning a piece of real estate has been the hallmark of achievement from time immemorial as kings and influential men of old are sized according to their…

President Buhari: Why I Declared My Second Term Bid Early
Politics
97 views
Politics
97 views

President Buhari: Why I Declared My Second Term Bid Early

MT - July 20, 2018

President Muhammadu Buhari says he announced his second term bid in April to “save a lot of time and cool tempers”. The president announced his intention to…

10 States In Nigeria Where Pidgin-English Is Most Spoken [Written In Pidgin]
Best of Nigeria
105 views
Best of Nigeria
105 views

10 States In Nigeria Where Pidgin-English Is Most Spoken [Written In Pidgin]

MT - July 20, 2018

Pidgin is Nigeria's second most acceptable language aside the universally recognized English language. With over 250 ethnic groups and diversified local dialects, most Nigerians sometimes inter-switch the…

Adorable Photos of Yoruba Actress, Taiwo Aromokun Twins as they Turn 5 (Photos)
Entertainment
105 views
Entertainment
105 views

Adorable Photos of Yoruba Actress, Taiwo Aromokun Twins as they Turn 5 (Photos)

MT - July 20, 2018

How time flies. Yoruba actress Taiwo Aromokun can’t keep calm because it’s her twin-boys 5th birthday today. Taiwo who has been residing in London with the boys…

Chevron VTP Graduates Turn Down 50 Job Slots
Business
102 views
Business
102 views

Chevron VTP Graduates Turn Down 50 Job Slots

PH - July 20, 2018

GRADUATES of Chevron Vocational Training Programme, VTP 5 and 6 under the auspices of National Association of Itsekiri Graduates, NAIG, National Association of Ilaje Graduates and National…

Photos of Fulani Chief Imam, Abdullahi Bachi Murdered by Armed Militia in Plateau State
Shocking
102 views
Shocking
102 views

Photos of Fulani Chief Imam, Abdullahi Bachi Murdered by Armed Militia in Plateau State

MT - July 20, 2018

Armed men suspected to be militia members have reportedly murdered a Fulani chief Imam in a bloody attack in Plateau state. The Chief Imam of Bachi Community,…

Why Ex-leaders Attack Buhari – Presidency
Politics
89 views
Politics
89 views

Why Ex-leaders Attack Buhari – Presidency

PH - July 20, 2018

President Muhammadu Buhari’s Personal Assistant on Social Media, Lauretta Onochie, on Thursday pointed out why former leaders criticize her principal. Onochie said they were agitated because of…

“How Shooting Movie Scenes Left Me Hospitalized for 5 Days” – Actress, Mosun Reveals
Entertainment
97 views
Entertainment
97 views

“How Shooting Movie Scenes Left Me Hospitalized for 5 Days” – Actress, Mosun Reveals

MT - July 20, 2018

A Nigerian actress has opened up on how shooting movie scenes left her hospitalized for as many as days. Mosun Adeleye, a Nollywood actress, has underscored the…

How to Apply for Gani Fawehinmi Annual Scholarship Awards 2018
Best of Nigeria
93 views
Best of Nigeria
93 views

How to Apply for Gani Fawehinmi Annual Scholarship Awards 2018

MT - July 20, 2018

Gani Fawehinmi Scholarship Board – Applications are invited from students in tertiary institutions in Nigeria for the 2018 Gani Fawehhnni Annual Scholarship Awards. Gani Fawehinmi Annual Scholarship…

Loading...