Dipo Olowookere
By Dipo Olowookere
The shares of 11 Plc (formerly known as Mobil Oil Nigeria) have delisted from the trading platform of the Nigerian Exchange (NGX) Limited.
The equities of the energy company were removed from the exchange on Friday, May 7, 2021, after the completion of the voluntary delisting.
The development reduced the market capitalisation of the exchange yesterday by N39 billion, closing at N20.431 trillion as against N20.470 trillion it ended on Thursday.
“The market and investing public are hereby notified that the entire share capital of 11 Plc was delisted from the daily official list of the Nigerian Exchange Limited on Friday, May 7, 2021.
“The delisting of the entire issued share capital of 11 Plc followed its shareholders’ approval to delist from the exchange,” a notice from the exchange obtained by Business Post disclosed.
11 Plc had earlier explained that it opted to leave the NGX after many years in order to “focus on revenue generation, consider strategic opportunities, alliances and collaborations; and tremendously shift from regulatory, administrative, and financial reporting regulations that companies listed on the exchange must adhere to.”
The company offered shareholders who intend to sell their stake in the firm N213.90 for each of the unit held by them, noting that this amount was reached because it was the price shares of the company were sold at the exchange six months preceding the notice of the Annual General Meeting (AGM) of 2020, where the decision to delist was agreed.
“The interest of dissenting shareholders shall be bought by the company for a consideration of N213.90 per ordinary share, being the highest price at which 11 Plc shares have traded, six months preceding the notice of the AGM at which the resolution to delist was deliberated, as provided by the rules of the NSE,” 11 Plc explained.
At the close of business on Tuesday, February 9, 2021, shares of the company traded flat at N228 per unit. The firm had shares outstanding of 360,595,262 and a market capitalisation of N82.2 billion.
But 11 Plc emphasised that “shareholders that intend to remain members of an unlisted 11 Plc shall be free to remain and there is no obligation to receive the exit consideration.”
There are strong indications that 11 Plc will operate as an unlisted public organisation and trade its securities on the NASD over-the-counter (OTC) Securities Exchange, where unlisted stocks are traded.
