Notore Chemical Industries has said that it will at an Extra-ordinary General Meeting seek shareholders’ authorization to raise an additional N105,791,844,375 through a private placement.
This was contained in a notice of EGM to the Nigerian Exchange Limited obtained by Nairametrics.
The proposed capital raise, if approved by the shareholders, will be facilitated through the issuance of 2,418,099,300 ordinary shares valued at N0.50k each, with a share price set at N43.75.
Private placement
The private placement will be offered to an identified investor, with the timing, terms, and conditions to be determined by the Board of Directors. However, the transaction is contingent upon meeting various conditions precedent, including obtaining approvals from relevant regulatory bodies.
The statement reads:
- “That the Company be and is hereby authorised to raise additional capital of N105,791,844,375 (One Hundred and Five Billion, Seven Hundred and Ninety-One Million, Eight Hundred and Forty-Four Thousand, Three Hundred and Seventy-Five Naira) by the issuance of 2,418,099,300 (Two Billion, Four Hundred and Eighteen Million, Ninety-Nine Thousand and Three Hundred) Ordinary Shares of N0.50k (Fifty Kobo) each at the price of N43.75 per share to an identified investor, by way of a Private Placement, on such dates and time and on such terms and conditions as may be determined by the Board of Directors (the “Board”) of the Company (the “Transaction”), subject to the satisfaction of certain conditions precedent including without limitation, obtaining the approvals of relevant regulatory authorities”
Proceeds of the transaction
The statement signed by Group Chief Legal Officer/Company Secretary, Mr. Otivbo Saleh disclosed that the proceeds of the transaction shall be utilised for lawful purposes of the Company as may be determined by the Board, subject to obtaining the approvals of relevant regulatory authorities.
Also, the Board among other things is seeking shareholders’ approval to increase the Share Capital of the Company from the sum of N2 billion 0to the sum of N2.015 billion by the creation and addition of 30.166 million ordinary shares of N0.50k each, such shares to rank pari passu in all respects with the existing shares in the capital of the company.
