Modupe Gbadeyanka
By Modupe Gbadeyanka
This Wednesday and Thursday, shareholders of Dangote Cement and Greif Nigeria Plc will meet in Lagos to either approve or disapprove requests of their respective boards.
On Wednesday, January 22, 2019 at the Eko Convention Centre, Lagos at 11am, investors of Dangote Cement will gather for an Extraordinary General Meeting (EGM) to decide on the share buy-back programme proposed by the board.
The board said the company intends to repurchase a total of 1.704 billion ordinary shares of Dangote Cement from the stock market, representing 10 percent of the total issued shares of the cement giant; 17,040,507,405 ordinary shares.
The shareholders will also agree on what price the shares should be bought, but from what the firm said, the offer price must not be more than 5 percent above the five-day average trading price and this would be calculated using the five days preceding the offer date.
The programme is expected to be funded from the company’s retained earnings, while none of the board of directors would be allowed to participate in the buy-back programme, which would be executed through an open market and or self-tender offer at a prevailing market price.
“The buyback will be completed within 12 months from the date of receipt of the approval of shareholders for the programme. The board may delay, amend or terminate the programme at any time by releasing an announcement to that effect to the NSE, irrespective of whether any or all of the shares have been repurchased.
“Unless otherwise approved by the regulator, the company shall not implement the programme within 15 days prior to the publication of its annual or interim results,” the board disclosed in a notice released last month concering the meeting.
On the part of Greif Nigeria shareholders, they will take a decision on the proposal by the board to delist shares of the firm from the Nigerian Stock Exchange (NSE).
The Extra-Ordinary Meeting (EGM) is fixed for Thursday, January 23, 2020 at at Greif Board Room, No 1, Alapata Road, Apapa, Lagos at 11:00am.
In addition, investors will authorise the sale of the company’s properties in Lagos; the one at its present head office and another property around the area.
“That the company’s land and buildings known and designated as ‘Factory at No. 1 Alapata Road, Apapa, Lagos and Residence at No. 3/5 Barracks Road, Apapa, Lagos’ be sold at a price and upon such terms and conditions negotiated and determined by the board;
“That the company’s shares be delisted from the Nigerian Stock Exchange;
“That the board be and is hereby authorised to take such steps or actions and to do all things as may be necessary to give full effect to the above-mentioned resolutions,” a disclosure issued by the firm last month said.
