Tobi Ijalana
A Singaporean agro-allied company, Olam International, is set to acquire Dangote Flour Mill (DFM) as it has offered N130 billion to take over the company.
According to Dangote Flour Mills in a notice, the Nigerian Stock Exchange (NSE) said that the total consideration offered by Olam to acquire its five billion shares was N130 billion.
“If the conditions of the transactions are satisfied and sanctioned by the court, the company would be delisted from NSE,” it said.
Olam International, which was established in 1989, and now listed on the Singapore Exchange currently owns over five million shares of Dangote Flour Mills and is ready to take charge of the entire company.
Reports add that Olam was bidding to acquire all the outstanding and issued shares of DFM that were not currently owned by Olam through Crown Flour Mills Limited its subsidiary,.
Mr Thabo Mabe, a director who signed the notice made it clear that the transaction would be on the basis of debt free, cash free, payable in cash at the closing of the proposed transaction.
DFM said that the board would review the offer in the best interest of the shareholders.
“The board will keep both the capital markets and the public updated on tangible development in this regard, in line with the applicable regulatory requirements,” it added.
