The core shareholder of PZ Cussons Nigeria Plc., PZ Cussons Holdings Ltd, has notified the Nigerian Exchange Limited of its intention to acquire the shares held by all the other shareholders of the Nigerian company, at an offer price of N21 per share.
The company shares closed at N19.10 on Monday and N19.05 on Tuesday.
The company said in a statement that the proposed transaction is, however, subject to the consideration and approval of the Board of PZCN, the company’s shareholders and requisite regulatory authorities.
In its offer, the PZ Cussons Group explained that it believes the transaction is necessary in order to enable them to significantly simplify and strengthen operations in Nigeria creating the foundations for the Nigerian business to deliver against its strategy, building a more agile and innovative business.
The group noted that PZ Cussons has been present in Nigeria since 1899 and expects Nigeria to remain an important market for the group for many years to come.
It is intended that the proposed transaction will be implemented under a Scheme of Arrangement in line with section 715 of the Companies and Allied Matters Act, No.3 of 2020 (as amended) and other applicable rules and regulations.
This will require the company to convene a general meeting of its shareholders by an order by the Federal High Court.
Details of the Court Ordered Meeting will be communicated to shareholders upon receipt of the requisite approvals from the board, the Securities and Exchange Commission and the Federal High Court.
The terms and conditions of the Proposed Transaction will be provided in the Scheme Document which will be dispatched to all shareholders prior to the Court Ordered Meeting.
Further developments will be communicated to shareholders in due course, said acting company secretary, Olubukola Olonade-Agaga.
The statement warned the company’s shareholders and members of the public to exercise caution in dealing in PZCN’s shares until further information is provided.