Popular billionaire, Femi Otedola, has offered the business world a surprise package as he has opted to sell all his shares in the firm’s downstream business.
The decision is a rare one because the company is doing well and Otedola is not known to be facing any threat as the big boss there.
There is, however, the possibility that he has an eye in refinery based on the explanation given by Forte management concerning why he is selling the shares.
According to a statement signed by the company’s General Counsel, Mr Akinleye Olagbende. Otedola’s plan to pull out has been well taken into consideration.
The notice reads, “Forte Oil Plc hereby notifies the Nigerian Stock Exchange, Securities and Exchange Commission, shareholders and the investing community that its majority shareholder, Mr Femi Otedola, has reached an agreement with the Prudent Energy team, investing through Ignite Investments and Commodities Limited, to divest of his full 75 per cent direct and indirect shareholding in the company’s downstream business.
“Mr Otedola’s divestment from the downstream business is pursuant to his decision to explore and maximise business opportunities in refining and petrochemicals. The transaction is expected to close in the first quarter of 2019 subject to the satisfaction of various conditions and receipt of applicable regulatory approvals.”
It adds that Standard Chartered Bank, Corporate Finance & Advisory, Dubai, and Olaniwun Ajayi LP served as financial and legal advisers respectively to Otedola, while PricewaterhouseCoopers and Stanbic IBTC Capital Limited served as joint financial advisors and Sefton Fross served as legal advisor to Ignite Investments and Commodities
