Delisting: Ashaka Cement gives shareholders multiple options

Shareholders of Ashaka Cement Plc have been availed various alternatives as the company’s imminent delisting of its shares from the Nigerian Stock Exchange takes effect.

The company got the nod of the shareholders to voluntarily delist from the NSE as proposed by the directors during an Extraordinary General Meeting (EGM) on Monday in Abuja.

Consequently, shareholders will now have a 90-day window to decide on the exit plan on offer. This is in line with the requirements of the NSE on voluntary delisting.

Over the next 90 days, shareholders will have to decide on any of the available options. One is to trade their shares on the NSE through their stockbroker.

They may also key into an arrangement by Lafarge Africa Plc to transfer their shares on same terms as were for the Mandatory Tender Offer (MTO) and Voluntary Tender Offer (VTO).

During the MTO and VTO, Lafarge Africa offered 57 new Lafarge Africa shares for 202 AshakaCem shares held as at the date of the special resolution approving the voluntary delisting. There is a cash consideration of N2 per every AshakaCem shares exchanged.

Willing shareholders may decide to retain their shareholdings in the unlisted AshakaCem. This has no negative legal implications.

In a statement made available to journalists, the Vice Chairman, Ashaka Cement Plc, Edith Onwuchekwa, said the voluntary delisting will not occasion loss of investments.

Under the terms of the MTO, Lafarge Africa offered 261.58 million ordinary shares and N1.85 billion as equity and cash consideration for the takeover.