Nigerian Exchange Limited (NGX) has admitted 145,074,002 units of Nigerian Breweries Plc’s shares arising from the 2021 Scrip Dividend Election Scheme into its platform.
The Breweries giant had proposed for shareholders’ approval, the Share for Cash Dividend Election Scheme; a scheme that will allow shareholders to convert final cash dividends to new ordinary shares.
What the Exchange is saying
The Exchange in a statement obtained by Nairametrics said, “Trading Licence Holders are hereby notified that additional 145,074,002 ordinary shares of 50 kobo each of Nigerian Breweries were on, listed on the Daily Official List of the Nigerian Exchange Limited (NGX).
“The additional shares listed on NGX arose from Nigerian Breweries’ Scrip Dividend Election Scheme. With this listing of the additional 145,074,002 ordinary shares, the total issued and fully paid up shares of Nigerian Breweries Plc has now increased from 8,075,831,900 to 8,220,905,902 ordinary shares of 50 kobo each.
What you should know
The resolution passed at the 76th AGM meeting held on April 22, 2022 states, “That shareholders entitled to receive cash dividends in respect of the financial year ended 31st December 2021, be offered a right of election to receive ordinary shares in the company instead of cash dividends, and that such New Ordinary Shares be credited as fully paid, which, when issued, shall rank Pari Passau in all respects with the company’s existing ordinary shares”.
That the election to receive ordinary shares instead of cash dividends should have been exercised on or before the 12th of April, 2022;
The New Ordinary Shares to be received by shareholders shall be determined by their cash dividend entitlements divided by a Reference Share Price, which Reference Share Price shall be the ten (10) day average (starting on the 10th of March, 2021) of the Company’s closing share price on the floor of The Nigerian Stock Exchange.
On March 25, 2022, the company sent out a share election form to shareholders whose preferred mode of payment was Shares for Cash. The form was to be submitted on or before April 12, 2022.
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