Oando PLC (NGX: OANDO) on Thursday notified the Nigerian Exchange Limited (NGX) and Johannesburg Stock Exchange Limited (JSE Limited) that its core shareholder, Ocean and Oil Development Partners Limited has offered to acquire the shares of all minority shareholders in Oando.
The Company said it will be subsequently delisted from NGX and JSE and re-registered as a private company.
According to corporate action notification published on the Nigerian Exchange, “OANDO Plc Shareholder shall be entitled to receive the sum of N7.07 in cash or its equivalent in South African Rand (ZAR) for every ordinary share held by the qualified Scheme Shareholders at the Effective Date of the Scheme.”
“The proposed Scheme Consideration represents a 58% premium to the last traded share price of Oando on 28 March 2023, being the day prior to the date of submission of the Scheme application to the Securities and Exchange Commission (SEC),” according to the document.
The company said it has applied for the SEC’s ‘No Objection’ to the Scheme. It added that the effectiveness of the Scheme is subject to the approval of the shareholders of Oando at the Court-Ordered Meeting of the Company, as well as the sanction of the Federal High Court.
It noted that terms and conditions of the Transaction will be provided in the Scheme Document which will be dispatched to all shareholders following the receipt of an order from the Federal High Court to convene a Court-Ordered Meeting.
If the conditions of the Transaction are satisfied and same is sanctioned by the Federal High Court, the Company will be delisted from NGX and JSE and re-registered as a private company.
This comes after OANDO Plc on Tuesday released its 2020 and 2021 financial results.
The share price has risen 27.06% since the release of the results, having closed at N4.25 per share on Monday. It is currently trading at N5.4 per share at the time of writing this report.
Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.