• Wednesday, May 29, 2024
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BusinessDay

Cedar to acquire additional 39.62% equity stake in Union Diagnostic

Nigerian Stock Exchange

Union Diagnostic and Clinical Services Plc has informed the Nigerian Stock Exchange (NSE) and the investing public that the Company received a binding offer from Cedar Advisory Partners Limited (Cedar) to acquire a total of 1,407,855,051 ordinary shares of 50 kobo each held by all minority shareholders.

This represents 39.62percent of the Company equity stake at an offer price of 35kobo per share through a Scheme of Arrangement.

Cedar is an investment firm and has over the years carved a niche in the healthcare business landscape, working with major industry players across various levels of the healthcare value-chain.

Cedar currently holds 711,916,612 ordinary shares representing 20.04percent equity holding in the Company. Subsequent upon the conclusion of the transaction, Cedar will hold a combined 59.66percent equity holding of the Company.

The offer price of 35kobo per share represents a premium of 75percent of the Company’s last closing price on March 16, 2020 and 70.1percent of 90-day volume weighted average share price.

The Board announced that it has fully considered the offer and will recommend the offer to shareholders for consideration at a court ordered meeting, further to the approval by relevant regulatory authorities.

Further details will be communicated to the shareholders of the Company as the transaction progresses. Shareholders and potential investors are advised to exercise caution when dealing in shares until a further announcement is made.