By Cynthia Ezekwe
The Securities and Exchange Commission (SEC) has approved the establishment of a new share buy-back programme for Dangote Cement PLC, sub-Saharan Africa’s largest cement producer.
A statement published by Dangote Cement Plc on the Nigerian Exchange (NGX) website said the programme will expire on 12 December 2023, 12 months from the date of the shareholders’ resolution.
The leading cement company in sub-saharan Africa disclosed that the share buy-back programme will be executed under the approval granted by the company’s shareholders at the extraordinary general meeting of Dangote Cement PLC which was held on 13 December 2022. This, it noted, is within the framework provided under Rule 398 (3)(xiv) of the Securities and Exchange Commission’s rules and regulations and under the approval of the Nigerian Exchange Limited.
Dangote Cement also stated that the share buy-back will be undertaken through an open market offer or self-tender, at such times and on such terms as the management of the company may determine, subject to prevailing market conditions.
“The Company will continue to monitor the evolving business environment and market conditions, in making decisions on tranches of the share buy-back programme,’’ the disclosure added.
Prior to SEC’s approval, the cement producing company on 13 December, 2022, authorised the management of the company to undertake a share buy-back which is up to 10 per cent of its issued shares, effective from the date of the resolution.
The approval was obtained through voting at the company’s extraordinary general meeting held in Lagos, which recorded 100 per cent approval from the shareholders, as they all agreed that it is a good stake for the company.
