Julius Berger Nigeria Plc has updated its shareholders on the strategic partnership with Petralon Energy Limited.
Julius Berger Nigeria Plc had on June 19, 2017 notified shareholders of its strategic partnership and joint investment agreement with Petralon Energy Limited (“PEL”) for the acquisition and development of oil fields in Nigeria.
PEL had offered for subscription to Julius Berger Investments Limited (JBIL), a wholly owned subsidiary of Julius Berger, 20percent of its equity share capital in Petralon 54 Limited (P54L), a wholly owned subsidiary of PEL (the Investment). The subscription is subject to engagement and the receipt of all, consents, and approvals.
In a notice at the Nigerian Stock Exchange (NSE), Julius Berger Nigeria Plc said the Board of JBIL had approved the acquisition subject to the necessary engagements, and receipt of all the requisite regulatory approvals and consents.
“The Investment has received ministerial consent but necessary engagements with key stakeholders regarding the Investment, continues.
“The share capital of JBIL is sufficient to fund the Investment. The Investment is in line with the strategic goals of Julius Berger on diversification and would enable Julius Berger to acquire know-how and experience in the Oil and Gas Sector”, the notice reads.
Julius Berger promised to provide further details to the market as the transaction progresses. The share price of the construction giant remained unchanged at N18.55 at the close of trading on Monday October 14, 2019. Julius Berger currently trades around its 52-week low of N18 having reached a 52-week high of N28.80.
Iheanyi Nwachukwu
