By Dipo Olowookere
The Securities and Exchange Commission (SEC) has approved the mandatory takeover (MTO) of Courteville Business Solution Plc by BOWS Nigeria Limited.
BOWS Nigeria is the majority shareholder of Courteville, the foremost Nigerian e-business solutions and advisory company. It controls a 67.01 per cent stake in the firm.
However, because it wants to pull Courteville out of the Nigerian Exchange (NGX) Limited, it is offering to buy out the stocks held by other shareholders.
In a regulatory disclosure on Wednesday, Courteville said BOWS Nigeria is offering 48 Kobo per unit for the 1,171,939,459 shares held by other investors, representing a 32.99 per cent equity stake in the organisation. This means the majority investor will pay N562.5 million to the other shareholders to take charge of the company fully.
Business Post reports that the amount offered by BOWS Nigeria is one Kobo higher than the closing price of the company’s stock at the stock exchange yesterday, 47 Kobo.
According to the statement issued by the firm today, it was disclosed that the tender offer will open on February 22, 2023, and will close on March 22, 2023.
“You will recall that a special resolution approving the delisting the securities of the company was passed by the Shareholders at the 17th Annual General Meeting of Courteville Business Solutions Plc held on July 26, 2022.
“The investing public and the Nigerian Exchange Limited are hereby informed that BOWS Nigeria Limited, a shareholder who holds 67.01% of the issued share capital of the company, made a proposal to buy the 32.99% held by the other shareholders of the company through a Mandatory Takeover Bid (MTO) to the Securities and Exchange Commission (SEC), and the Mandatory Takeover Bid has been registered with SEC as SIS/M&A/TBR/CBS/000824 in the commission’s record.
“BOWS Nigeria Limited has obtained SEC’s approval to launch the Mandatory Takeover, and the same is priced at 0.48k per ordinary share net of any applicable tax.
“The tender offer will open on February 22, 2023, and close on March 22, 2023,” the statement issued today said.
