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Chuks Udo Okonta
Law Union & Rock Insurance Plc is set to commence the payment of N1.23 per share for every 50 kobo ordinary share to shareholders following an approval by the Nigerian Stock Exchange (NSE) to delist its shares from the main board of the Exchange.
The delisting from the Exchange paves way for the new investors of the company, Verod Capital Management through the Kanuri LUR SPV, to pay off existing shareholders, which completes an aspect of the takeover.
With this development, the company says it is not only forging ahead in its recapitalization plan, it is also stronger than before based on its share capital, assets, profits among others in the 2019 financial year.
The proposed transaction as contained in the TIA is expected to involve the transfer of a total of 4,296,330,500 ordinary shares of 50 kobo each of law Union held by the shareholders in consideration for a cash payment of N1.23 per share.
The Board of Law Union and Rock secured the exit payment from its new investor in the quest to get full value for the investment of shareholders of the company.
Commenting on the company’s achievement and recapitalization plans, the Managing Director, Law Union, Ademayowa Adeduro said: “The company has concluded the process to voluntarily delist its shares form the Exchange. We filed a Certified True Copy (CTC) of Court Sanction with SEC and applied for withdrawal of registration of Law Union’s shares and delisting of the company’s share from the NSE’s main board.
“Presently, the NSE has granted us approval and the new investors can start paying shareholders the N1.23k per share and complete that aspect of the takeover”, he added