Shareholders of International Breweries Plc (NGX: INTBREW) will hold an Extra-Ordinary General Meeting to consider the conversion of the company’s loan and debt to equity.
Also read; Aig-Imoukhuede returns as Chairman of Access Holdings Plc
The EGM will hold at 10:00am on April 9, 2024 at External Ballroom, Federal Palace Hotel, Ahmadu Bellow Way, Victoria Island, Lagos. This is according to a notification published on Monday on the Nigerian Exchange by the Brewer.
The Shareholders at the meeting will consider, and if thought fit pass the following resolutions as resolutions of the Company:
SPECIAL BUSINESS
Special Resolution
- Approval of Shareholder Loan and Debt-to-Equity Conversion
- That the loan of US$379.9 million granted to International Breweries Plc by AB InBEV Nigeria Holdings BV (‘the Shareholder Loan”) in respect of the repayment of the loan obtained by the Company from Citibank Abu Dhabi be and is hereby approved in accordance with the terms and conditions presented by the Board of Directors.
- Subject to compliance with the applicable regulatory requirements, the Directors be and are authorised to apply any convertible loan, shareholder loan or any other loan amount/facility due to any person from the Company as may be agreed between the person and the Company towards payment for any shares subscribed for in the Rights Issue that has been approved by the shareholders of the Company.
- The Directors be and are hereby authorised to approve, sign and/or execute all documents, appoint such parties and advisers as may be necessary to give effect to the above resolutions, including without limitation, complying with the directives of any regulatory authority.
Ordinary Resolution
- Signatory Authorization: That a Director and Company Secretary be authorized to sign and execute all documents
necessary to give effect to the above resolutions, including without limitation to, complying with the directives of any regulatory authority.”
A debt-to-equity conversion is a method of debt restructuring where a creditor converts debt owed to it by a debtor company into shares in that company.
AB InBEV Nigeria Holdings BV – the majority shareholder of the Company, in compliance Rule 20.8(c) of the Nigerian Exchange Limited Rules Governing Related Party Transaction – has informed the Company that, as a related party, the company, its nominee, associate, related party, or other party acting in concert, will not exercise its right to vote at the EGM.
As at 31 December 2022, AB Inbev Nigeria holdings BV held 21.06 billion shares of International Breweries Plc, representing 78.44% of the 26.86 billion issued ordinary shares of the company.
Nnamdi Maduakor is a Writer, Investor and Entrepreneur
