Capital Hotels Plc has disclosed a delisting of all of its shares from the main board of the Nigerian Exchange (NGX).
In an explanatory statement sent to Nigeria Exchange Limited which was seen by Nairametrics, the company said the purpose of delisting is to enable the company to explore strategic opportunities.
An excerpt from the statement reads:
- “This letter is issued given the Annual General Meeting (AGM) to be held on the 17th May 2023 at Abuja Continental Hotel, Abuja, to propose for approval amongst other business of the day, the delisting of the total of 3,160,775,510 (Three Billion, One Hundred and Sixty Million, Seven Hundred and Seventy-Five Thousand and Five Hundred and Ten) ordinary shares of Capital Hotel Plc listed on the Main Board of The Nigerian Exchange Limited (the “Transaction”).
- The purpose of delisting is to enable the Company to explore strategic opportunities, alliances, and collaborations that can bolster earnings and/or provide synergized benefits with little or no regulatory obligations.”
Conditions for delisting
The company noted that the final decision to delist from the NGX is subject to final resolution from the board of directors after the shareholders had voted in favor of the delisting during the AGM held on 17th May 2023.
Once the transaction is approved by the NGX with the Securities and SEC duly notified, the shares of the company shall be removed from the daily official list of the NGX.
More excerpts from the letter read:
- The interest of dissenting shareholders shall be bought by the Majority Shareholder for consideration of ₦5 (Five Naira) per each ordinary share, being the highest price at which the company shares have traded, six (6) months preceding the notice of the AGM at which the resolution to delist will be deliberated, as provided by the rules of the Nigerian Exchange Limited (“NGX”).
According to the audited financial statement of the company for the year ended 31st December 2022, 22 Hospitality Limited is the majority shareholder with 66.13% holding.
The company also noted that the delisting won’t have any impact on the existing employment contracts of its staff as well as the composition of the Board of Directors of the company.
The delisting of shares of Capital Hotels Plc will take effect from August 31, 2023.
