As a result of the planned acquisition of the Seven-Up Bottling Company plc by Affelka, a South African private equity firm, the Nigerian Stock Exchange, NSE, said it has approved the delisting of the company.
While many people might be alarmed by this decision, it is a routine one and it was a compulsory move to take the company private since the shareholders will be compensated.
Affelka is currently the majority shareholder in Seven-Up Bottling Company, the producer of Pepsi, Seven-Up and Mirinda. The company competes directly with CocaCola Hellenic Bottling Company.
It would be recalled that Affelka was proposing to acquire all the outstanding and issued shares of SBC that are not currently owned by Affelka has today advised the Company that the Scheme Consideration has been revised upwards to N125 (One Hundred and Twenty-Five Naira) per share.
The proposed Scheme Consideration represents a 22.6% premium to the last traded share price of the Company on January 9, 2018; and a 27.6% premium to the price on August 10, 2017 which was the last business day prior to the date the initial proposal was received from Affelka.
It would also be recalled that the revised Scheme Consideration will be voted on at the Court-Ordered Meeting which is scheduled for Thursday, January 11, 2018.