The Board of Champion Breweries Plc has announced the completion of the acquisition of an 86.5% stake by EnjoyCorp Limited in the brewery firm.
This was contained in the company notice to the Nigerian Exchange Limited seen by Nairametrics.
This acquisition was achieved through the purchase of 100% shareholding in The Raysun Nigeria Limited, which holds the aforementioned stake in Champion Breweries Plc, listed on the Nigerian Exchange Group (NGX).
According to the statement signed by Mr. Imo-Abasi Jacob, the Board Chairman, following the approval of the Federal Competition and Consumer Protection Commission, the transaction has been completed, and EnjoyCorp now holds full control of The Raysun Nigeria Limited.
Champion Breweries to remain listed on NGX
Jacob noted that the Champion Breweries plc will remain listed on the NGX adding that EnjoyCorp is committed to building the company and galvanizing shareholder value through strategic initiatives and investments that align with its mission of enriching life’s moments through a diverse portfolio of brands.
The chairman said the acquisition marks EnjoyCorp’s strategic entry into the beverage category, underpinning the company’s long-term commitment to the African consumer.
“Champion Breweries Plc will be integrated as a cornerstone subsidiary within EnjoyCorp’s expanding portfolio of food, beverage, and hospitality brands.
EnjoyCorp is welcome aboard Champion Breweries Plc, and we look forward to an exciting new chapter of growth and value creation for all its stakeholders, powered by EnjoyCorp’s vision and resources.
Champion Breweries plc is confident that this partnership will unlock new opportunities and elevate our brand to greater heights,” he said.
He noted that the acquisition will strengthen Champion Breweries Plc’s market position and open new avenues for growth and collaboration.
Nairametrics reported recently that EnjoyCorp Limited, a holding company specializing in food, beverage, and hospitality brands, has agreed with Heineken B.V. to acquire 100% of its shareholding in The Raysun Nigeria Company Limited.
The Raysun Nigeria Company Limited, in turn, holds an 86.5% stake in Champion Breweries Plc, a prominent regional brewer listed on the Nigerian Exchange Limited (NGX).
Financial performance
- Following the challenging business environment that significantly impacted the manufacturing sector, the company achieved a profit after tax of N371 million as against N1.407 billion in 2022 representing a drop of 73.63% YoY.
- Champion Breweries plc has reported a profit before tax of N445 million for the year ended 31 December 2023, representing an 80% YoY decline from the N2.249 billion reported in 2022.
- Champion Breweries reported revenue of N12.704 billion, representing a marginal YoY increase of 3.38% from the N12.289 billion reported the year prior.
- The company closed its last trading day on Friday, June 14, 2024, at N2.95 per share on the Nigerian Stock Exchange (NGX), recording an 8.5% gain over its previous closing price of N2.72. -began the year with a share price of N4.15 but has since lost 28.9% off the price valuation.