The Board of AshakaCem has approved the exchange of shares held by minority shareholders for shares in Lafarge Africa, the majority shareholder.
The Acting Chairman of the Board of AshakaCem, Mrs Edith Onwuchekwa, announced the approval at the Extraordinary General Meeting (EGM) held yesterday at the Sheraton Hotel Abuja.
“Minority shareholders will receive 57 Lafarge Africa shares for every 202 AshakaCem shares. This makes AshakaCem a fully-owned subsidiary of Lafarge Africa and offer shareholders the window to liquidate their investments following the delisting of the Gombe-based cement maker from the trading floor of the Nigeria Stock Exchange (NSE) in July 2017,” she said.
Onwuchekwa further explained that after the delisting of AshakaCem from the NSE last year, the shareholders did not have the opportunity to gain the liquidity on their investment. So with the share swap being approved at the EGM, they have the opportunity to do so.
The Chief Financial Officer of Lafarge Africa, Bruno Bayet, said the minority shareholders of Ashaka now have the opportunity to be part of Lafarge Africa with total installed production capacity of over 14 million metric tonnes of cement per annum and strong growth prospects.
The CEO of Lafarge Africa, Michel Puchercos, said: “We remain committed to Ashaka in good times and in bad times because we have a long-term view of our investments.
One of the shareholders of AshakaCem, Mr Adio Alex, said many shareholders were happy with the share swap. “No shareholder has anything to lose. We are satisfied with the decision. A bigger Lafarge will produce bigger result for the entire shareholders,” he said.
Though now a 100% subsidiary of Lafarge Africa, Ashaka cement will have its own board of directors.