Dipo Olowookere
By Dipo Olowookere
A foreign investor, which has a substantial stake in Okomu Oil Palm Plc, has increased its stake in the Nigerian company.
The shareholder, Socfinaf S.A, recently increased its holding in the firm by acquiring over 2 million units of the company’s stocks at the Nigerian Stock Exchange (NSE).
A notice from the Edo State-based organisation said the purchase of the additional shares was done in three tranches at the Lagos exchange located on Customs Street, Victoria Island.
It was disclosed that on Wednesday, September 9, 2020, Socfinaf bought 1,883,759 units of the shares at a unit price of N77.98, amounting to N146.9 million.
The next day, it further purchased 13,540 units at N78 per share, amounting to N1.1 million and on Friday, it increased its portfolio with more 114,301 stocks of Okomu Oil at N74.76 each, amounting to N8.6 million.
This means Socfinaf increased its stake in the company by 2,011,600 units by coughing out about N156.6 million for the transactions.
Based on the 2019 audited results of Okomu Oil analysed by Business Post, Socfinaf controls 62.69 per cent of the company. Socfinaf is a firm incorporated under the laws of Luxembourg and apart from Socfinaf, no other shareholder holds more than 5 per cent stake in Okomu Oil.
As at the close of transactions at the exchange on Monday, the company had shares outstanding of 953,910,000 and a market capitalisation of N74.4 billion.
At the time of filing this report on Tuesday, the share price of the company was flat at N78 per unit.
Okomu Oil has a Nigerian as Chairman, a South African as CEO, five Belgians and three other Nigerians on the board.
The company is into the planting and production of oil palm and rubber.
For the 2019 financial year, Okomu Oil paid a total dividend of N4 to shareholders of the company, comprising N2 interim dividend and N2 final dividend.
