This from The Nation;
Oando Plc, Nigeria’s leading indigenous energy group listed on both the Nigerian and Johannesburg Stock Exchange, is on the verge of completing its purchase of ConocoPhillips’ Nigerian (COPN) assets.
According to SBG Securities Oil & Gas Analyst, Gbenga Sholotan, Oando has succeeded in securing all the financing required towards the acquisition of ConocoPhillip’s entire Nigerian business for a reported $1.66 billion.
Sholotan said: “Oando recently raised an aggregate of $442m through the sale of the East Horizon Gas Company for $250 million and a special placement of 2.05billion shares for $192 million. All funding sources have now been secured to be in a position to close the COPN asset acquisition. We do not consider the need to obtain the minister of petroleum’s consent as a major risk to this transaction, given antecedents of divestments over the last three years.”
Oando had paid an initial deposit of $450 million, and has received additional funds through debt commitment letters received from financial institutions ($815 million), private placement of shares ($200 million), and the recent sale of its EHGC asset to Seven Energy for $250 million.