Proshare Logo
   Market Date: 28-01-2015   
Agriculture ARTS FINANCE All One Min News Archives Bonds Cap Mkt Sentiments Capital Market CASHLESS NIGERIA Commodities Corporate Earnings Daily & Weekly Market Updates Elections Enterpreneurship ETFs Forex Frauds & Scandals General Global Market Insurance Investors NewsBeat Islamic Finance Mergers & Aquisitions Money Market Mortgage Mutual Funds Nigeria Economy Oil Sector Opinions and Analysis Pensions People Personal Finance Politics Power Products & Services Professionals Property Public Offers Private Placements Regulators REITs Stock PICKS Taxation Telcos Travel & Tours Unlisted OTC MARKET World of Business

SEC okays Consolidated Breweries’ stake in Champion Breweries

Category: Regulators

  Read (2033)
SEC okays Consolidated Breweries’ stake in Champion Breweries

January 5, 2011

THE Securities and Exchange Commission (SEC) has approved Consolidated Breweries Plc’s majority shareholding in Champion Breweries Plc.

The acquisition, which took effect from January 3, 2012, will however, not result in a full merger of Champion Breweries into Consolidated Breweries’ existing business.

Under the arrangement, Champion Breweries will retain its identity, independence, board and management team, “but will be managed with the active involvement of Consolidated Breweries Plc”.

Though silent on the present ownership structure, Consolidated Breweries explained yesterday, that as a result of the transaction, Champion Breweries will have “good opportunities arising from this partnership.”

The company added: “The transaction will amongst other things provide an even better avenue for the further development of the Champion Lager Beer brand, access to expertise, synergies in all functional fields and, not least important, increase the capacity utilisation of its brewery through possible manufacturing of Consolidated Breweries Plc’s brands in the future.

“On the other hand, Consolidated Breweries will strengthen its position in the value for money segment in Nigeria, by being able to improve the geographic spread of its operations. It will also get instant access to production capacity which will enable the Company to address its current capacity constraints and further strengthen its platform for future growth”.

Explaining further, Consolidated Breweries Plc in a press statement pointed out that the transaction once again confirms the Company’s commitment in playing its role towards the development of the Nigerian beer market.

The board of the company recently secured the approval of all stakeholders to float a total of 99,140,625 ordinary shares of 50 kobo each.

At the end of a completion board meeting held in Lagos, the company explained that the rights issue had already been approved by the company’s shareholders at a recent yearly general meeting.

Under the arrangement, a total of 99,140,625 ordinary shares of 50 kobo each will be offered to existing shareholders in the ratio of one new ordinary share for every four ordinary shares held as at 23 December 2011, at 62.00 per share.

The company said it approvals for the registration of the new shares have already been obtained from SEC.

Stanbic IBTC Bank Plc is the Issuing House to the issue, which is expected to open on Monday, January 9, 2012 and close February 15, 2012.

At the completion board meeting, the company told stakeholders that the proceeds of the issue will be applied towards refinancing some of Consolidated Breweries’ existing bank facilities, provide additional working capital and funding for  the upgrade of production and distribution facilities to achieve capacity expansion and efficiency.

Source: Guardian

Tags: , 

Comment With Your Facebook or Yahoo! ID

Latest news

News on Regulators

About Us

Who We Are
Our Team & Partners
Corporate Governance
Advertise with Us
Subscribe / Unsubscribe
Site Map
News Feed - RSS
Contact Us
Volunteer Program
Message from CEO

News & Features
The Analyst / Market Data
Investor Relations Portal
The Regulator
Economy & Politics
Training Portal
Events Calendar
NewsStands - Online Reputation

Products and Services

Research & Market Intelligence
Analyst Services
Offers & Rights Support Service
Investor Relations Services
Alert & Subscription Services
Share Support Services
Proshare Consult
Event & Seminar Coverage
Market Directory
File a Complaint
News & Analysis

News from TheANALYST
Video News from WebTV
Money Market Updates
Opinions & Analysis
Nigerian Economy
Market Data
The Regulator
Discussion Forum

Subscriber Agreement
Privacy Policy
Data Policy
Copyright Policy
Comments in Site
Advertising Code
Conflict of Interest
Content Partnership
3rd Parties

Online Trading and Execution
Legal Support Services
Web/Technology Services
File a Complaint

CBN Governor 2014