Connect with us

Business

7-UP Gives Update on Planned Acquisition

Published

on

Seven-Up Bottling Company
  • 7-UP Gives Update on Planned Acquisition

Affelka S.A., the majority shareholder of Seven-Up Bottling Company Plc, who is proposing to acquire all the outstanding and issued shares of SBC that are not currently owned by Affelka, has advised the company that the scheme consideration has been revised upwards to N125 per share.

7-UP disclosed this on Wednesday in a notice to the Nigerian Stock Exchange.

The proposed scheme consideration represents a 22.6 per cent premium to the last traded share price of the company on January 9, 2018; and a 27.6 per cent premium to the price on August 10, 2017, which was the last business day prior to the date the initial proposal was received from Affelka.

The revised scheme consideration would be voted on at the court-ordered meeting which is scheduled for January 11, 2018, the notice explained.

On November 30, 2017, 7-UP had received an offer from its majority shareholder, Affelka, to buy out minorities for N19.33bn ($60m), in a takeover deal aimed at restructuring the struggling company.

Privately-held Affelka, the investment firm of the Lebanese El-Khalil family, did offer to acquire 171.5 million shares from minorities at N112.70 per share, an 18 per cent premium to the hen share price of N95.50.

It already owns 73.2 per cent of the bottler, set up 57 years ago, and has the licence to bottle PepsiCo’s Pepsi and other products in Nigeria.

The soft drinks bottling industry has been hit by slow demand arising from weak economic growth in Nigeria, Africa’s most populous nation, which has just emerged from a recession and a currency crisis which stifled raw material imports.

“As of now we have received an offer from the majority shareholder of the company. It’s a financial restructuring,” Seven-Up Vice Chairman, Sunil Sawhney, said then.

He said the company had been making losses for some time and that the deal was aimed at restructuring the bottler, which distributes PepsiCo’s 7up, Pepsi and Mirinda-branded drinks.

Shares in the soft drinks maker, which opened for trade at N92.50, rose by five per cent on the news, valuing the company at N59.6bn ($186.25m).

The 7-UP takeover deal came six years after main rival Coca-Cola delisted its local bottling unit in a buy out deal worth $136m, to expand the business and fend off competition.

Sawhney, who joined the company in a management change this year, said delisting 7-UP from the stock exchange after the takeover would be “logical”. The takeover is subject to shareholder and regulatory approvals.

Earlier, 7-UP said its board had received an offer from Affelka to acquire all outstanding shares that it does not currently own.

CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and Investing.com, with over a decade experience in the global financial markets.

Appointments

Siemens Energy Nigeria Appoints Seun Suleiman as Managing Director

Published

on

siemens

Seun Suleiman is the New Managing Director of Siemens Energy Nigeria

Mr. Seun Suleiman is the new managing director of Siemens Energy Nigeria, the company announced on Wednesday.

According to the statement released by the energy company, Suleiman will be responsible for the entire management of operations and decisions on business policies and corporate strategy.

Commenting on his appointment, Suleiman said, “It is an absolute honor to lead the business for Siemens Energy Nigeria and I look forward to delivering on the brand’s promise of excellence.

Suleiman joined Siemens Energy in 2014, bringing over 15 years’ experience and deep expertise in the private sector across Europe and West Africa.

The statement said, “He is an accomplished business strategist and success-driven leader with strong business acumen. Suleiman has also been a core member of the executive management team at Siemens Energy serving in roles as Sales Director West Africa – Service Distributed Generation Oil & Gas and Vice President Service & Digital.

“Prior to this, he also held various functional and managerial positions with ABB Ltd UK, ABBNG Nigeria, Schneider Electric Nigeria and Dresser-Rand Nigeria Ltd.

It added that Suleiman was experienced in establishing operational excellence with specific competence in the power, oil and gas sectors.

Continue Reading

Business

FG Reopens Osubi Airport Warri for Daylight Operations

Published

on

muritala-muhammed-airport

FG Reopens Osubi Airport Warri for Daylight Operations

The Federal Government on Monday said the Osubi Airport in Warri has been reopened for daylight operations.

The Minister of Aviation, Hadi Siriki, disclosed this in a tweet.

The airport was closed in February 2020 over mismanagement and debt allegation involving aviation service providers and airport management.

However, Oberuakpefe Afe, a lawmaker representing Okpe/Sapeie/vaie federal constituency, recently moved a motion for the Federal Government through the ministry of aviation and relevant authorities to reopen the airport for flight operations.

On Monday, Hadi Siriki said “I have just approved the reopening of Osubi Airport Warri, for daylight operations in VFR conditions, subject to all procedures, practices and protocols, including COVID-19, strictly being observed. There will not be need for local approvals henceforth.

Continue Reading

Business

Nigerian Brand, JR Farms Acquires 11% Stake in Rwandan Firm

Published

on

Agric

Nigerian Brand, JR Farms Acquires 11% Stake in Rwandan Firm

JR Firms, an agribusiness firm with headquarters in Nigeria, has announced partnership with Sanit Wing Rwanda through the acquisition of 11 per cent stake in the company.

The CEO of the company, Mr Rotimi Olawale, explained in a statement that the partnership was in furtherance of its goals to ensure food security, create decent jobs and raise the next generation of agrarian leaders in Africa.

The stake was acquired through Green Agribusiness Fund, an initiative of JR Farms designed to invest in youth-led agribusinesses across Africa.

Sanit Wing Rwanda is an agro-processing company that processes avocado oil and cosmetics that are natural, quality, affordable, reliable and viable.

The vision of the company is to become the leading producers of best quality avocado and avocado by-products in Africa by creating value across the avocado value chain.

With focus on bringing together over 20,000 professional Avocado farmers on board and planting of three million avocado trees by 2025 through contract farming, the company currently works with One Acre Fund in supply of avocado to its processing facility.

The products of the company which include avocado oil, skin care (SANTAVO), hair cream and soap are being sold locally and exported to regional market in Kenya.

With the new partnership with JR Farms- the products of the company will enjoy more access to markets focusing on Africa and the European Union by leveraging on partnerships and trade windows available.

Aside funding, the partnership comes with project support in areas of market exposure, capacity building, exposure and other thematic support to grow the business over the next four years.

JR Farms has agribusiness operations in Nigeria, Rwanda, United States and Zambia respectively.

In Nigeria, the company deals in cassava value chain processing cassava to national staple “garri” which is consumed by over 80 million Nigerians on daily basis, while in Rwanda, it works in the coffee value chain with over 4,000 coffee farmers spread across the East Central African country.

Continue Reading

Trending