Companies
Nestlé S.A invests N147.8 million in shares of its Nigerian subsidiary
Nestlé S.A has invested a whopping N147.8 million in shares of its Nestlé Nigeria Plc.
The consumer goods giant, Nestlé S.A has invested an additional N147.8 million in shares of its Nigerian Subsidiary (Nestlé Nigeria Plc).
This disclosure was made by Nestlé Nigeria Plc, in a notification issued and signed by the Company’s Secretary, Bode Ayeku.
READ: Nestlé S.A purchased 666,596 additional shares of Nestlé Nigeria Plc in 17 days
Mr. Ayeku disclosed that Nestlé S.A acquired the additional 105,569 units of Nestle Nigeria Plc shares in three transactions on the floor of the NSE, at an average share price of N1,400 per share.
According to the notification issued by the Company’s Secretary and seen by Nairametrics, Nestlé S.A purchased the ordinary shares of Nestlé Nigeria Plc in this order:
- On 11th December, 63,700 additional shares of Nestlé Nigeria Plc at a price of N1,400.00 per share were purchased.
- On 12th December, 41,869 additional shares of Nestlé Nigeria Plc at a price of N1,400.00 per share were purchased.
This puts the total consideration for the shares purchased by the parent company at N147,796,600.00
READ: Nestle Nigeria Plc records 0.66% increase in export sales boost revenues
What you should know
- Prior to the recent purchases, notifications issued by the Company’s Secretary on, 2nd, 4th and 9th December 2020, revealed that the parent company acquired additional shares of 253,965, 433,529 and 80,448 respectively, between 30th November and 9th December. This brings the additional shares purchased over this period to 767,942 ordinary shares.
- Recall that Nairametrics on the 29th of November 2020 reported that Nestlé S.A purchased a total of 666,596 additional shares of its Nigerian subsidiary, Nestlé Nigeria Plc, in a deal worth N933.95 million.
READ: Flour Mills GMD purchased additional shares worth N209.29 million in 3 days
What this means
- The purchase of the shares of Nestlé Nigeria further cements the position of Nestlé S.A’s as the majority shareholder of the company.
- In line with the information contained in the financial statements of the company as of 30th September 2020, the company has 792,656,252 shares outstanding, with Nestlé S.A being the majority shareholder (525,537,201 units) – 66.30% of the total shares of the company outstanding.
- Hence, with the previous acquisitions and the recent acquisition of 105,569 additional units, Nestlé S.A’s ownership percentage of Nestlé Nigeria is now put at 66.50%.
READ: Flour Mills’ GMD acquires shares worth ₦54.6 million
Why it matters
Dealings by insiders of listed companies are corporate actions to be disclosed, as required by the Nigerian Stock Exchange to aid transparency.
Appointments
Airtel Nigeria announces appointment of Surendran as new Chief Executive Officer
Airtel Nigeria, has announced the appointment of Mr C. Surendran as the new MD/CEO with effect from August 1, 2021.
Telecommunications giant, Airtel Nigeria, has announced the appointment of Mr C. Surendran as the new Managing Director and Chief Executive Officer with effect from August 1, 2021.
Surendran would be replacing the outgoing Managing Director and Chief Executive of Airtel Nigeria, Olusegun Ogunsanya, who has been elevated to the position of Chief Executive Officer of Airtel Africa Plc with effect from October 1, 2021.
According to a report from the News Agency of Nigeria, this disclosure is contained in a statement issued by Airtel on Wednesday, May 5, 2021, in Lagos.
READ: Airtel Africa signs new $500 million loan with Bank of America, HSBC, others
The statement says that Surendran would also be appointed to the Executive Committee (ExCo) as Regional Operating Director, reporting to the CEO of Airtel Africa plc, and onto the Board of Airtel Networks (Nigeria) Limited.
Airtel in its statement said, “Surendran has been with Bharti Airtel since 2003 and has contributed immensely in various roles across customer experience, sales and business operations.
He was the Chief Executive Officer of Karnataka, which is the largest circle in Airtel India, with over one billion dollars in revenue.
Surendran delivered an exceptional performance with significant movement in Revenue Market Share (RMS) over the last few years, currently at 54 percent. He has over 30 years of business experience, including 15 years at Xerox.’’
Airtel said that Surendran would transition into his new role from June 1, 2021, and spend the time onboarding into the business until July 31, 2021.
READ: Meet the latest billionaires on the Nigerian Stock Exchange
In case you missed it
It can be recalled that a few days ago, Airtel Africa Plc, a leading provider of telecommunications and mobile money services in Nigeria and 13 other countries, announced the appointment of Mr Olusegun Ogunsanya as the new Chief Executive Officer, following the notice of retirement given by the current Managing Director/Chief Executive Officer, Raghunath Mandava, to the Board.
In the notification sent by Airtel Africa to the Nigerian Exchange, Ogunsanya is expected to join the board of Airtel Africa with effect from October 1, 2021.
Companies
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