Shareholders of Lafarge Africa Plc approve N90bn rights issue

Shareholders of Lafarge Africa Plc on Tuesday approved a N90 billion Rights Issue and restructuring of its 315 million dollars short term shareholder loans to enhance business reach in Nigeria.

The company’s Chairman of Board of Directors, Mr Mobolaji Balogun, revealed at an Extra-Ordinary General Meeting held in Lagos that shareholders also approved plan to raise up to N90 billion in additional capital and to restructure its short term U.S. Dollar shareholder loans.

He added that “the additional capital to be raised will further help to deleverage the company’s balance sheet and provide head room for the expansion of our business.

“The company foresees a stable pricing environment and favourable economic conditions in its Nigeria market, while its South Africa operations are undergoing turnaround plan.”

On refinancing plan, the Chief Executive Officer, Michel Puchercos, said that the company was preparing for future development in Nigeria, improving the company’s leverage, as well as strengthen its profitability.