Shareholders of Ashaka Cement Plc that missed an initial opportunity in the company’s share swap with Lafarge Africa PLC have unanimously voted in favour of the deal.
At an extra -ordinary court-ordered meeting held in Abuja on Monday, Ashaka cement shareholders voted in favour of the resolution authorising the exchange of total of 302,045,793 ordinary shares of 50 kobo each held by minority shareholders for shares in Lafarge Africa.
With the resolution for share swap, each holder will receive 57 Lafarge Africa shares for every 202 Ashaka Cement Plc shares as at delisting date at N2 per share.
Speaking with Journalists on the import of the deal, Edith Onwuchekwa, acting chairman of Ashaka, said the swap deal has always been on the card.
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“We were actually talking about the share swap after the delisting had happened sometime in July last year, for shareholders who don’t have the opportunity to gain the liquidity of their investment,” Onwuchekwa said. “With the share swap which was approved at this EGM , they have the opportunity to do that. Secondly, they can participate in Lafarge Africa PLC which is a bigger company.”
On how the cement firm was able to maintain smooth operations amidst the Boko- Harram insurgency, she said the government is giving the company full support.
“It has been challenging. Sometimes we had Boko- Harram attack but government has substantially supported us and we were even named as a critical national asset. So with that, we have more confidence and we are able to consider an expansion of Ashaka Cement Plc because of the confidence we have in the security agencies that the government has supported us with,” she said.
The acting board chairman added that the company is constructing a new 16mw coal-fired power plant, which is expected to help in electrification of plant and also contribute to maximization of energy cost.
Rabiu Umar, managing director of the cement firm, said all the stakeholders were carried along in share swap arrangement.
“Indeed we carried all stakeholders along both from regulatory perspectives, the core stakeholders, the communities all the people we work with. It is purely a corporate issue, that has no impact on day to day operations,” Umar said. “We still have the plant. It is going to remain there. We still have the brand- Ashaka Cement Plc is going to remain.”
HARRISON EDEH, ABUJA
