By Cynthia Ezekwe.
Dangote Sugar Refinery Plc has recorded a great feat in its business combination bid with NASCON Allied Industries, and Dangote Rice Limited (DRL) after the trio agreed to the terms and conditions clearing the path for their integration into a single entity.
The leading sugar producer in Nigeria made this known in a statement signed by Temitope Hassan, its company secretary/legal adviser, and published on the Nigerian Exchange Limited (NGX) website.
Dangote Sugar explained that the agreement is an internal restructuring to be executed through a scheme of merger, under Section 711 of the Companies & Allied Matters Act, 2020 (as amended) and other applicable rules and regulations.
“The consideration that will be offered to shareholders of NASCON and DRL is as follows: Scheme Consideration Eleven (11) ordinary shares of 50 Kobo each in DSR, credited as fully paid-up shares, for every Twelve (12) NASCON shares of 50 Kobo each, which totals 2,428,651,847 new ordinary shares of DSR; and Fourteen (14) ordinary shares of 50 Kobo each in DSR, credited as fully paid-up shares, for every One (1) ordinary shares of N1.00 Kobo each in DRL share, which totals 2,775,792,508 new ordinary shares of DSR,’’ the statement added.
The company also made known that terms and conditions of the merger as agreed by the parties will be presented to the Securities and Exchange Commission (SEC) and subsequently, the company’s shareholders at the court-ordered meeting.
“The Company will now proceed to apply to the SEC for the approval of the Scheme, and subject to the approval of the SEC, will apply to the Federal High Court for an order to convene a meeting of its Shareholders to consider the Scheme,’’ Dangote Sugar stated further.
The statement further implored shareholders of the company to exercise caution when dealing with the shares of the company until a further announcement is made.